The singer - who performed as JOHNNY ROTTEN - claims the American band has reduced a political movement into a simple musical style.
He says, "Don't try and tell me Green Day are punk. They're not, they're plonk and they're bandwagoning on something they didn't come up with themselves. I think they are phony."
Referring to his band's battle with the police and censors during its heyday, Lydon adds, "The government's against you, the police are on you.
"So there we are fending off all that and it p**ses me off that years later a w**k outfit like Green Day hop in and nick all that and attach it to themselves.
"They didn't earn their wings to do that and if they were true punk they wouldn't look anything like they do."