The directors of Paliburg Holdings, which controls troubled Chi Cheung Investment, have denied knowledge of the recent irregular trading in Chi Cheung shares. The company said the drop in its own share price of late might in part be due to its connection with Chi Cheung, which on Wednesday announced a $316.3 million attributable loss for the first six months. Yesterday, Chi Cheung shares fell eight cents to 75 cents when trading resumed after a four-day suspension. At the start of trading, the counter rallied - climbing steeply in the morning to $1.22 a share before retreating. Paliburg shares rose one cent yesterday to $2. Last Friday, trading in Chi Cheung shares was suspended after its share price collapsed 87.6 per cent amid allegations that Paliburg Holdings, through a subsidiary, had pledged its 74.48 per cent stake to a financial institution for a loan - allegations denied by Paliburg.