confabulate

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I]nnocent but vulnerable suspects, under the influence of highly suggestive interrogation tactics, come not only to capitulate in their behavior, but also to believe that they committed the crime in question, sometimes confabulating false memories in the process.
Former Prime Minister Atal Bihari Vajpayee by his confabulations with Pakistan President Pervez Musharraf and recently Foreign Minister SM Krishna confabulating with his counterpart Qureshi were exactly doing that," said Jethmalani.
The Confabulating Mind: How The Brain Creates Reality.
And at his confabulating best, Doyle reminds one of no one so much as Flann O'Brien.
HE'S the big cheese, the confabulating king of punditry, and the Beeb are fortunate to have the benefit of his savoir-faire.