There are still a number of indie devs using Java, as far as I can tell the vast majority using LWJGL. When game jams come around I'll play maybe 100 games that other participants made, and a small but respectable chunk will be JAR files (maybe 10 of those 100?).
It might even be the second most popular way to make indie games, after Unity. Depends on how you count "indie" games.
It might even be the second most popular way to make indie games, after Unity. Depends on how you count "indie" games.