Hmmm perhaps we are talking about different Illyas? The spin-off where she's one of the main protagonists is definitely full of dyke shit.
Discussion
Okay that's not even canon so it doesn't even matter. I thought you were talking about FSN.
Fairly sure it's canon, just not to the universe you are speaking of. It's probably a different universe kinda deal.
Anyways, just the fact that they made an alternate version of her like that turns me off.
Setsuna, on the other hand, is straight and faithful on all timelines.