The statement evauates to false because Object.equals() (by default) returns the equality of the object references. Since obj3 and obj4 reference distinct objects in memory, the references themselves are not equal.
"if (obj1.equals(obj2)) //why is this true "
The Boolean.equals() method overrides the Object.equals(). According to the documentation:
public boolean equals(Object obj) Returns true if and only if the argument is not null and is a Boolean object that represents the same boolean value as this object.
Overrides: equals in class Object
Parameters: obj - the object to compare with.
Returns: true if the Boolean objects represent the same value; false otherwise.