Remove all comments from hosts.allow, and also remove all empty lines.
The only 2 lines in the file should be :
pj2ci1 +
10.3.5.61 +
so wc -l hosts.allow should show 2 lines.
use vi or a unix editor to create the file.
If this still gives errors, then post the output of :
od -bc hosts.allow
(assuming the od (octal dump) commanda also exists on aix).