I don't think it's working, at least not how I think it should be working.
How it works now is: you upload a file that's bigger than 5MB -> you get an error.
How it should work: you upload a file that's bigger than 5MB -> the file gets uploaded to the server in a temporary location. Some PHP call/function reads then the file from the temporary location, it detects that the file is bigger than 5MB and then via php-gd or php-imagick or whatever module is installed on the server, converts the file to the acceptable filesize set by the administrator. (something like this:
http://www.fmwconcepts.com/imagemagick/downsize/index.php). After that, the resized file is copied in the gallery folder of the forum and the original file larger file is deleted from the temporary location on the server.
For me at least it's hard to upload images here. I have to do the steps above manually: copying the file on another location on my PC because I don't want to alter the originals, opening it, resizing, saving, then uploading, when it should be the server who should do the work.