Sanders' response came after former White House aide Omarosa Manigault Newman kicked new life into claims this month that recordings of Trump using the racial slur during the filming of his reality show, "The Apprentice," actually existed.
"I've never heard him use that term or anything similar," Sanders said in response to a series of questions from NBC's Kristen Welker. "I can't guarantee anything, but I can tell you that the president addressed this directly… I haven't been in every single room."
The press secretary also commented on Trump's Tuesday tweet in which he called Omarosa a "dog."
"This absolutely has nothing to do with race and everything to do with the president calling out someone's lack of integrity," she said, stressing that Trump is an "equal opportunity person that calls things like he sees it."
"He always fights fire with fire, and he certainly doesn't hold back on doing that across the board," she added.
Trump previously shot down claims made by Omarosa, who became a household (first) name through "The Apprentice," on Monday by claiming that the n-word has never been part of his vocabulary.
This week Omarosa revealed two audio recordings, one in which Trump advisers are discussing the potential fallout if the rumored n-word tapes surface during the 2016 presidential campaign and a second where Trump is discussing Omarosa's parting ways with the administration.
In the recording regarding the n-word tapes, which Omarosa gave to CBS News and was aired on "CBS This Morning" on Tuesday, former Trump campaign spokesperson Katrina Pierson and Lynne Patton, former assistant to Eric Trump, are heard discussing the matter.
"I am trying to find at least what context it was used in to help us maybe try to figure out a way to spin it," Pierson is heard saying in the tape, according to CBS.
The three-way conversation then turns to Patton, who references a moment in which she spoke to Trump about the slur. "I said, ‘Well, sir, can you think of anytime that this might have happened?,' and he said, ‘No.' He goes, ‘How do you think I should handle it?,' and I told him exactly what you just said, Omarosa, which is well, it depends on what scenario you are talking about. And he said, ‘Well, why don't you just go ahead and put it to bed,'" she said, CBS reported.
Pierson and Patton have both denied that the phone conversation ever took place. CBS News has not yet verified the recording.
Netizens, as they so often are, have been shocked in some ways by the revelations.
Although Trump's reelection campaign said that it would file an arbitration action against Omarosa over the various claims she's made recently, the 44-year-old Ohio native declared on Tuesday that she would not be "silenced," the Associated Press reported.
Omarosa's tell-all, "Unhinged," was released on Tuesday by publisher Simon & Schuster. Aside from racial remarks, the reality star also claimed that Trump was in "mental decline."