I do not believe Jackson denied these allegations.
The child also mentioned having seen Jackson's genitals, in some context.
Jackson did end up paying a 20 million dollar settlement to the family, in that case.
Even if all these allegations are true, none of them amount to 'molestation'.
None of them are particularly appropriate either, however, and the extent to which they might be harmful to a child probably depends on the child and on the context.