I am familiar with this situation but thankfully not this extreme. It is called triangulation, where a well meaning person (could be a family member or anyone convenient really) is dragged into a situation in which they will be manipulated by both parties into doing things that feel wrong, or unclear.
This blatant lying to police is also something I have to deal with, although now it is lying to a court.
I am really sorry that this is now impacting on your life. It is not your job to help the victim, difficult though it may be for them to break free.
Do you have other neighbours you could talk to? If a picture can be built up by more than one person then social services will take notice.
I would record and note all incidents to build up a picture and as others have said, maybe seek help from the experts.
It must be such a worry for you but distancing yourself from the situation (could you move in to a different bedroom, for example, or go to stay with someone even for a few days?) whilst still protecting yourself is really important here.