Only last month Sancho was left out of the squad by Lucien Favre, who cited "a disciplinary measure" adding that "everything else will remain internal".
However, those reports upped a notch last week when the Independent claimed Sancho had been cleared to leave the Westfallonstadion in January after another show of ill-discipline saw him axed from the starting line-up in last Wednesday's Champions League clash against Barcelona.
As per the report, coach Lucien Favre claimed he preferred to select players who are "focused and ready", and his stance would lead to a "bidding war" for his services in the winter window with both Liverpool and Man Utd poised to submit offers.
And former Sheffield United striker Jan Aage Fjortoft, who is now reporter for Norwegian television channel Viasport said on Monday "a very good source in Germany" has informed him that Liverpool are in pole position to sign England forward Sancho.
Responding to the Sancho rumours, Liverpool boss Klopp told Liverpool Echo reporters on Tuesday: "He's a very good player. I have no clue where these kind of things are coming from, but it cannot come from us because we never speak about it.
"If we would be involved, nobody would know about it apart from a person who wouldn't speak about it. There's nothing to say.
"Cost? That's one issue, 100 per cent that would be an issue. But there's nothing to say about it.
"I know how it sounds, but I cannot change that. There's nothing to say about it, which can mean there's absolutely nothing to say about it."