The Fratton Park outfit are the worst example of the economic struggles facing a number of clubs in the Premier League as leveraged debt has been allowed to spiral out of control.
With sympathy in short supply at Molineux, Wolves owner Steve Morgan was critical of Liverpool on Monday and now McCarthy has poured scorn on Pompey after claiming that he was outmuscled by the South Coast club in two summer signings.
The Wolves boss said in the Express and Star: "We had a player in my office and wanted to sign him and we couldn't match the deal that was being offered down there. It would be grossly unfair to name the player.
"Then another one that we were trying to sign and we were negotiating with also ended up at Portsmouth, on a deal that we wouldn't be prepared to give him.
"It doesn't make me feel bitter, not at all, but it's cock-eyed that football is allowed to get so much in debt.
"Liverpool spend hundreds of millions, Manchester United do. I might as well start whinging about it being an unfair playing field with them.
"But if someone is prepared to run their business and keep spending a pound more than they earn, then you know it is a recipe for disaster at some stage. It has got to be."