"Absolutely not! I would never say anything like that," the elder Lohan said in a statement to E! News.
"All I did say when I was arguing with [Lindsay's mother] Dina was that Dina was acting like a pimp for allowing and going with Lindsay to an event/personal appearance for money, just so Dina could get her cut," Lohan said. "It's like pimping Lindsay out so Dina can make money! They twisted everything to make it look like I said that! Notice that they said the pimp part but then a 'source' said the rest!"
Star cited insiders it did not name as saying Michael told them he was disgusted because his 26-year-old daughter "is getting paid to date rich men. Dina is pimping her out."
The former child star of hit films such as "The Parent Trap" and "Mean Girls" has seen her career eclipsed in recent years by her legal woes and battles with drug and alcohol addiction. She was most recently seen in the critically panned TV movie "Liz & Dick."
2014: The Year in Music [PHOTOS]