When I try to run the command:
python manage.py syncdb

I get the following error:
Traceback (most recent call last):
  File "manage.py", line 10, in <module>
    execute_from_command_line(sys.argv)
  File 
"/usr/lib/python2.7/site-packages/django/core/management/__init__.py", line 
443, in execute_from_command_line
    utility.execute()
  File 
"/usr/lib/python2.7/site-packages/django/core/management/__init__.py", line 
382, in execute
    self.fetch_command(subcommand).run_from_argv(self.argv)
  File "/usr/lib/python2.7/site-packages/django/core/management/base.py", 
line 196, in run_from_argv
    self.execute(*args, **options.__dict__)
  File "/usr/lib/python2.7/site-packages/django/core/management/base.py", 
line 232, in execute
    output = self.handle(*args, **options)
  File "/usr/lib/python2.7/site-packages/django/core/management/base.py", 
line 371, in handle
    return self.handle_noargs(**options)
  File 
"/usr/lib/python2.7/site-packages/django/core/management/commands/syncdb.py", 
line 57, in handle_noargs
    cursor = connection.cursor()
  File "/usr/lib/python2.7/site-packages/django/db/backends/dummy/base.py", 
line 15, in complain
    raise ImproperlyConfigured("settings.DATABASES is improperly 
configured. "
django.core.exceptions.ImproperlyConfigured: settings.DATABASES is 
improperly configured. Please supply the ENGINE value. Check settings 
documentation for more details.

But my settings file has the DATABASE section:
DATABASES = {
    'default': {
        'ENGINE': 'django.db.backends.sqlite3', # Add 
'postgresql_psycopg2', 'postgresql', 'mysql', 'sqlite3' or 'oracle'.
        'NAME': '/home/maxim/mysite/mysite.db',                      # Or 
path to database file if using sqlite3.
        'USER': '',                      # Not used with sqlite3.
        'PASSWORD': '',                  # Not used with sqlite3.
        'HOST': '',                      # Set to empty string for 
localhost. Not used with sqlite3.
        'PORT': '',                      # Set to empty string for default. 
Not used with sqlite3.
    }
}

What could be causing the error?

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