I really doubt anyone ever said this to her, at least not in Hollywood. Californians don't use this term, though NYers do.
She also never answered the question, "have you ever been mistaken for a Muslim?".
One gem that she pulled out of her ample rear was a segment from a vile piece of anti American propaganda called 11'09''01 - September 11/. A bunch of foreigners got together to film vignettes basically blaming the US for the attack i.e. we brought it upon ourselves. Her cinematic thank you, to the country that has made her a rich women, was about a Muslim women who thinks her son might have been in one of the towers. She looks for her son within a city that is hostile and bigoted, shunning her and suspecting that her son is a terrorist.
You see 9/11 is really all about the plight of the poor Muslim. Americans aren't as understanding and enlightened as Hindus and Muslims. Now hand over your $8.50 for a ticket.