There were reports earlier that the "Queen" star had quit the project due to casting delays.
"They have not approached me," the 28-year-old actress said.
Kagti has now reportedly approached Priyanka Chopra to play the lead and has also cast Pakistani heartthrob Fawad Khan as the film's leading man.
"Mr Chaalu" is a story about a casanova who doesn't believe in marriage.
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