First question, defragfs will not free up space.
Second question, depends on the filesystem.
You can increase the fs (filesystem) with the chfs command, for example: chfs -a size=1024000 /my/fs
You should know that AIX thinks in "blocks" and a block is 512-bytes, or half a kilbyte. So the above command would set the fs size to 500MB, not 1024MB. You can also use something like this: chfs -a size=+1 /my/fs
That will increase /my/fs by one 512-byte block.
My suggestion to people learning about this is to stop using the -k flag on df and du. IBM Certified -- AIX 4.3 Obfuscation