The Spaniard says his club have not made an offer for the midfielder and claims he's received no further contract from Manchester United about Leighton Baines and Marouane Fellaini
Martinez has signed three players who played under him at Wigan - Antolin Alcaraz, Arouna Kone and Joel Robles – since swapping the DW Stadium for Goodison Park in June.
Republic of Ireland international McCarthy has been linked to follow in the footsteps of his three former team-mates, but Martinez has rejected reports he has made an offer for the 22-year-old.
The Everton manager said: "There has been no bid made.
"I think it's quite easy to understand that James is a player I signed at a young age and I've got huge admiration for him, so it doesn't take anyone to create a little bit of a story.
"But there has been no bid."
Martinez also stated at a press conference on Tuesday that there has been no further contact with Manchester United after Everton last week rejected a "derisory and insulting" bid from the Premier League champions for Marouane Fellaini and Leighton Baines.