Question: does your brother really love her, and is willing to accept the kid (and enjoy having one), *or* is your brother simply in love, and not serious enough to handle the problems of having a kid.
If it's the former, you probably should let them sort it out, and it might work out fine; if it's the latter, they'll break up regardless.
However, the question of whether to confront any of them with this is rather more difficult. If everyone in your family (and her's?) is convinced she's basically a bitch, it's hardly a good basis for a future relationship; if she's here to stay (seems like it for the near future), you should sort it out.
I'd say she wanted a kid anyway, and saw your brother as a good means to get one. It doesn't appear to be some sort of trap, because they're not going to stay together for long if it's only for the kid - she should have known that, giving society's marital problems.
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