It turns out that the Silvermans were unhappy in their marriage, and that the real estate mogul filed for divorce earlier this month, though it is not known whether he did so upon learning that his wife was expecting his friend's baby.
"Lauren and Andrew have been unhappy in their marriage for sometime, and their divorce has been in the works for a while," a source told US Weekly. "As their marriage deteriorated, she and Simon became close."
CLICK ON PHOTOS FOR FULL GALLERY
The millionaire casino owner is being represented by Manhattan family lawyers Cohen Goldstein. He filed his affidavit on 24 July.
News broke that Simon, 53, is set to become a first-time father exactly one week later on 31 July.
New York socialite Lauren, 36, who already has a seven-year-old son with her current husband, is thought to be around ten weeks pregnant.
The pretty brunette bears a striking resemblance to Simon's ex-fiancée Mezhgan Hussainy. It is said that she and Simon have been friends for five years.
She and her husband have often joined Simon for holidays on board his luxury yacht in the Caribbean, to which he invites many of his friends, including ex-girlfriends and female friends.
The trio were spotted on holiday together as recently as January this year.
Simon has previously spoken openly of not wanting to have children. In 2009, the music mogul admitted he couldn't see a family in his future. "God, no. I couldn't have children," he said. "If I had them here drawing on the walls, I'd go nuts.
"With kids you've got a routine you can't escape from. You've got to be up at a certain time. Got to listen. When all you want to do is sit in a corner thinking."
It is believed that in light of the news, Simon has hired Los Angeles-based lawyer Marty Singer to help him protect his £225million fortune, which could see a vast sum spent on child maintenance.