Real are said to be challenging Tottenham for the midfielder.
"I don't know anything about possible interest from Real Madrid in Sandro," said Luiz Paulo Chignall.
"I don't think it is right to be discussing anything related to Sandro's future at the moment because he is totally focused on the Copa Libertadores.
"I want to make it clear that the officials of Internacional and me are the only people who can hold negotiations regarding Sandro and nobody has been in touch with me and nobody from the club has told me anything.
"I don't think what is being said in the Spanish press is true."