Espanyol have confirmed that Real Madrid have made an inquiry about Kiko Casilla, but have warned Los Blancos not to play with the goalkeeper's feelings just to push through a deal for David De Gea.
Casilla, 28, has been heavily linked with a return to the Bernabeu with Marca reporting on Wednesday that Real, who are set to begin preseason with a shortage of keepers, are considering a €3 million deal.
Real are keen to acquire Manchester United goalkeeper David De Gea, but negotiations have reportedly stalled between the clubs.
With the departure of long-time No. 1 Iker Casillas to Porto imminent and Keylor Navas out injured, Real only have third-choice keeper Pacheco available.
When asked about the possible transfer of Casilla, Espanyol president Joan Collet told Spanish paper AS: "Everything is a lie, there's nothing.
"I have spoken a lot in the last few days with [Real Madrid general director] Jose Angel Sanchez and yes he asked a question [regarding Casilla] but we did not sit down no negotiate.
"I don't know what will happen tomorrow but right now, there is nothing and there will be nothing for those figures that are being reported."
"[Casilla] has already made his Spain debut and will return to play for the national team. First we have to receive an offer, find out if the player wants to leave and finally we must speak to the coaching staff.
"To speak of those figures for him is insulting, I don't know where they have come from."
When asked if he thought Real were using reports of their interest in Casilla to put pressure on United to sell De Gea, Collet said: "I don't know. I don't know if Madrid have said anything.
"I feel bad because [if true] they are playing with a lot of feelings and with the player. It annoys me that they are using his name."
Casilla left Madrid in the summer of 2007 to join Espanyol's reserve side and had a strong 2014-15 campaign, making 37 league starts and keeping 13 clean sheets in the Primera Division.
The 28-year-old is under contract with Espanyol until June 30, 2018.
Part of the Real squad will begin work under new coach Rafa Benitez on Thursday afternoon in Valdebebas, just 47 days after the end of the 2014-15 campaign.
Benitez replaced Carlo Ancelotti at the helm last month after the club sacked the Italian coach following a trophyless season.
Real players will undergo medicals in Madrid on Friday before travelling on Sunday to Melbourne, Australia, to begin their preseason tour.