I updated the prototype.js file from version 1.7.0 to 1.7.1 and now I'm able to test the LDAP settings successfully. The file is located in C:\Program Files (x86)\Openfire\plugins\admin\webapp\js and it can be downloaded from http://prototypejs.org/download/.
I was hoping this was going to resolve my Java error, but it did not. Still waiting for some help on this one.