I have used Oracle emmbedded java for two problems:
1) To do a PLSQL procedure which bulks the results of a query in a text file and send it over FTP. This file was very large and i use Java to Zip it.
2) In a client-server aplication with direct connection with the DB, to compare the user sent password to the application (not the DB user password) hashed with MD5, so that the password not travel by the net in plain text. I'm not sure if this was the better solution for this problem, i'm going to ask it now. :)