The Supreme Council of the Armed Forces (SCAF) in Egypt said Wednesday it had no plans to pardon former president Hosny Mubarak, DPA reported.
"It is absolutely untrue what some media have reported that the Supreme Council is taking steps towards pardoning former president Mohamed Hosny Mubarak or his family," the military said.
The statement, released on SCAF's Facebook group, urged Egyptians not to follow "rumours", saying that the military does not interfere in judicial proceedings.
The military has been in control of the country since Mubarak was ousted in February by a popular uprising after nearly 30 years in power.
A report in Tuesday's independent daily al-Shorouk led to heated debates on evening talk shows after unnamed officials said that Mubarak would apologize to the Egyptian people in an emotional plea for amnesty.
Suzanne Mubarak, the wife of the former president, also had her arrest warrant lifted on Tuesday after handing over approximately 4 million dollars in assets.
Both Mubaraks remain under investigation.
Suzanne Mubarak remains with her husband at a hospital in the Red Sea resort of Sharm el-Sheikh, where he is being treated.
Investigations are proceeding into how the Mubaraks amassed assets estimated at tens of billions of dollars during Mubarak's nearly 30 years in office.
Separately, Mubarak is also being investigated for his knowledge of a lethal security crackdown during this year's uprising that led to the deaths of over 840 people.
A judicial source told the German Press Agency dpa that the former president would soon hand over his assets in return for an amnesty, but it is not known how much Mubarak is worth nor how much he may give the state.
His two sons, Gamal and Alaa, are currently in Cairo's Tora prison pending investigations into financial corruption and in connection with the deaths of protesters.
On Tuesday, Mubarak's longtime confidant and chief-of-staff, Zakaria Azmy, was released on bail of 33,000 dollars this week, pending investigations into allegations of illegal acquisition of wealth, according to the al-Masry al-Youm daily.