>ls -l /usr/local/java/jdk1.1.7/lib/PA-RISC/green_threads
 . . .
>-rwxrwx---   1 MANAGER.SYS       SYS      2891776 May 25  1999 libjava.sl
>-rwxrwx---   1 MANAGER.SYS       SYS      6395648 May 25  1999 libjava_g.sl
 . . .

I'd guess that you installed the A.17.03 pacth from Jazz on top
of the regular JDK 1.1.7 version. The permission issue also bit me
in the past. The defaults in the tar file are not nice. I fixed it
up by doing a /bin/chmod 755 on those two .sl files afterwards.

Here is a snippet from my Web Starter Kit setup command file...
  http://www.editcorp.com/Personal/Lars_Appel/WebKit2/WKINST.txt

 echo Correcting file permissions to 755
 xeq /bin/chmod &
   "755 /usr/local/java/jdk1.1.7/lib/PA-RISC/green_threads/libjava.sl"
 xeq /bin/chmod &
   "755 /usr/local/java/jdk1.1.7/lib/PA-RISC/green_threads/libjava_g.sl"

Hope this helps.

Lars.