cannot resize JInternalFrame

Question

I have a label, added it to a panel, added the panel to an internal frame and the internal frame to a JFrame.

JFrame uses FlowLayout. I am not able to resize the internal frame. I can see the handles to resize but it is not working.

Minimizing or maximizing does not work either unless I am minimizing or maximizing the JFrame. Size of JFrame is 300, 300. Not sure what I should be doing.

inFrame1=new JInternalFrame("Frame 1",true,true,true,true);
JLabel displayLabel1=new JLabel("This is JInternalFrame #1");
panel1=new JPanel();
panel1.add(displayLabel1);
inFrame1.setVisible(true);
inFrame1.add(panel1);
add(inFrame1);