autoconf does not process README.in

[Ajeet]

Hi guys,

I am new to the autotools. I started off using acmkdir and created a
project. This creates a README.in and a README file. However, the README
file is empty. autoconf does not process the README.in file. The
configure.ac file contains the AC_CONFIG_FILES(README) directive. 

If I create an empty README file, then it fools automake into working.
If there is no README file, then automake fails with an error
"Makefile.am: required file `./README' not found"

The versions I am using are:
autoconf 2.63
automake 1.11

How do I fix this?

-- 
Regards,
Ajeet