"So if you are not working for that mortgage company, where are you working?" asked Washington Post reporter Stephanie McCrummen.
The Post published a story Monday about its dealings with Phillips.
O'Keefe released an unrelated video that he said exposed liberal bias at the newspaper hours after the Post story was initially published.
'I'm not going to answer any more questions, ' she said. But the Post determined her story was false, created to make the paper look bad if it published the account, which would have been the latest in explosive allegations against Moore. Phillips says that didn't pan out.
The reporters grew skeptical over inconsistencies in Phillips' story.
The Post also found a GoFundMe fundraising campaign started by somebody with the same name as Phillips, who was soliciting donations in May to move to NY for "a job to work in the conservative media movement to combat the lies and deceipt (sic) of the liberal MSM" (mainstream media).
The poster wrote about moving from Atlanta to NY to work as a researcher and fact-checker "to help our movement". Daily Caller executive editor Paul Conner told the Post that none of the publication's top editors had interviewed a woman by the name of Jaime Phillips.
"Um, yeah, I was looking to take a job last summer in NY, but it fell through", Phillips replied.
"I work for one of the branches".
The Post said one of its researchers also found a GoFundMe campaign created by a "Jaime Phillips" asking for contributions to move to NY for a new job. She also said she no longer felt comfortable going public with her story and soon took her leave.
Post reporters said they witnessed Phillips walk into Project Veritas' office in Mamaroneck, N.Y., about 30 miles north of Manhattan.
Later Monday, O'Keefe sent out a mass email confirming that Phillips is "an investigative journalist embedded" with the Washington Post. Both this video and the recording made by the Post can be viewed here. "But this so-called off-the-record conversation was the essence of a scheme to deceive and embarrass us". The intent by Project Veritas clearly was to publicize the conversation if we fell for the trap, ' Baron continued. "Because of our customary journalistic rigor, we weren't fooled, and we can't honor an "off-the-record" agreement that was solicited in maliciously bad faith".
In its report, the Post describes a flurry of propaganda attacks meant to discredit its reporting on Moore.
After Phillips told reporters her story, she continually asked them what impact they thought the story might have-and if they thought it would lead to Moore losing the election.