Java updates prompt could be annoying for users and you need bit special steps to turn this off. Following are the steps.
Issue: Unable to uncheck “Check for Updates Automatically” Java updates from Windows 7/8 JRE v 7
Find javapl.exe from java installation path: C:\Program Files (x86)\Java\jre7\bin
above is for 32bit.
Alternatively you can edit windows registry setting for disable auto java updates:
OR if your using 64bit OS.
“EnableJavaUpdate” =dword: 00000000 (change default value 1 to 0.
Note: Java auto can be turned off via GPO as well.