You can download the java for lion installer from apple. Then place the package in Casper Admin. I have it as part of my configuration and it installs properly.
How do you install the os? Dmg of booted?
Actually, that's given me an idea.
Maybe I need to dload all of the updates below & add to my configuration.
I tried. You just mount the dmg downloaded from Apple. Then drag the java pkg to Casper Admin.
Create a policy to install this packages, it works.