You are running the database in a standalone mode, this means(from the hsqldb user guide):
The main drawback is that it is not possible by default to connect to the database from outside your application. As a result you cannot check the contents of the database with external tools such as Database Manager while your application is running.
My question is, is your database manager connected to the database while you are trying to execute this program?
Btw, I copied your program and ran it locally, the only change I did was I ran hsqldb in a server mode(instead of stand alone mode), and the program works fine for me, here's the code:
[ November 04, 2007: Message edited by: v ray ]