Chai, 57, and Loh, 53, made the plea after the charges were read out to them before Judge Muhamad Anas Mahadzir.
Chai and Loh as directors of KK Supermart & Superstore Sdn Bhd were charged with deliberately intending to wound the religious feelings of Muslims by displaying the socks on the sales display rack of the supermarket and was seen by a 32-year-old man.
They were charged under Section 298 of the same law, with conspiring to commit the offence at KK Supermart & Superstore Sdn Bhd, Bandar Sunway, at 6.30 am last March 13.
They face imprisonment for up to a year or fine, or both if found guilty.
Chai, on behalf of the company, also pleaded not guilty to a similar charge.
The court allowed Chai and Loh bail of RM10,000 with one surety each.
Deputy Public Prosecutor Datuk Masri Mohd Daud prosecuted, while lawyer Datuk Rajpal Singh represented Chai and Loh.
Earlier, Rajpal Singh, in seeking the court to impose a low baill on his clients, said they were philanthropists and not flight risks.
"My client has around 5,000 employees in 810 branches among them in Malaysia, Nepal, India and Brunei," he said.
Meanwhile, Soh Chin Huat, 61, his wife, Goh Li Huay, 62, and their daughter Soh Hui San, 36, who is a director of a distribution company Xin Jian Chang Sdn Bhd, pleaded not guilty to a charge of abetting in wounding the feelings of Muslims in the same incident.
They were charged with committing the offence at KK Supermart & Superstore Sdn Bhd, Bandar Sunway, at the same time and date.
Soh, who also represented the company (Xin Jian Chang Sdn Bhd), was also charged with a similar charge.
They were charged under Section 109 of the Penal Code read together with Section 298 of the same law and faced a maximum prison sentence of one year or a fine or both upon conviction.
The court allowed them bail of RM10,000 with one surety each and fixed April 29 for mention.
Lawyer Lau Yi Leong represented the three family members.
The issue cropped up following a video and screenshot of the socks with the word Allah went viral through social media allegedly being sold at a convenience store, causing outrage among Muslims.
-- BERNAMA