I just wasted an afternoon with this bug. In my case if the div was the first on the page the background images didn't show. If you inserted another div with the same styles the first div would be messed up, but the second would be fine. Below is the fix.
Here is the link to the problem and solution http://www.webcredible.co.uk/user-friendly-resources/css/internet-explorer.shtml. It is number 3 on the list.
