14 yr old having sex

my husband sister is having sex and i swore i wouldn't tell on her but i overheard her saying "he's the father of my child." I told her mom what i heard but she laughed it off. She's naive about her daughter and doesn't think she's having sex but my husbands mom is never home. she works from 2-10 and her daughter is home alone with me doing whatever she wants. she admitted to me she was having sex. i told my husband but he says he feels bad for snitching on her. in my opinion he's being a child about it but i think his mom should know. Should i mind my business or tell her mom???