Amanda Bynes claims that the legal charges she is facing are "all false."

The 26-year-old starlet was charged with two misdemeanour counts of hit-and-run last week, resulting in her driving privileges being temporarily revoked. She is also suspected of driving under the influence, with speculation rife that her mental state is not healthy.

Although her loved ones believe Amanda is in denial about her true state of affairs, the actress insists that she is well.

"I am doing amazing," she told People magazine

"I am retired as an actor. I am moving to New York to launch my career. I am going to do a fashion line. I am not talking about being arrested for DUI because I don't drink, and I don't drink and drive. It is all false."

Apparently Amanda's milieu are scared to death about her welfare.

They believe she's delusional.

"People around Amanda are really concerned about her," a source told the magazine.

"She tells people she doesn't party or drink. She doesn't realise she has a problem."