Boa Morte was speaking in an interview with Robert Marawa during a sports show on Metro FM on Wednesday.
The former Portuguese international told Marawa that Palacios was the main reason he left Pirates after spending less than 6 months at the club.
Boa Morte further refused to give Palacios credit for winning the League and said if Marawa himself was Bucs coach he would have won the League title owing to the quality of players in the club.
The former West Ham striker said both Tebogo Moloi and Palacios still had a lot to learn in football.
"I have been told about the statements that Mr Boa Morte made in Robert Marawa's show on Wednesday night. I am not going to respond to each of his allegations, safe to say that I am a professional and as such I will not publicize the internal workings of the team. The team is like a family and families sort out their issues internally," he says.
However Palacios maintained that he always enjoyed a good relationship with players and does not work with only big names in his team selection.
"All players that have worked with me know that I care little about names. The starting eleven is made up of players that perform well during training and during games. Once you get your chance you have to grab it."
"I do have a good relationship with my players. I am a funny person by nature and I do have light moments with some of the players that I know well. But always with respect and in the spirit of the family we are.
"We all treat each other with respect in the Orlando Pirates Family. I have been working in this country, my second home, for 26 years. A key aspect of my coaching is communication. Players know that they can approach me at any time. I have never had complaints in this regard," says Palacios.
'Njenje' wished Boa Morte well with his future in football.
"I am surprised that he is making these unfounded allegations now and not when they allegedly happened. But we all make our own decisions. I wish him well in his future endeavours," he adds.