Refer to figures.
When an engine fails, The propeller can produce significant windmilling drag. This occurs when the blades remain at the same pitch (blade angle) as when the propeller was operational. Instead of being driven by the engine, the oncoming air now drives the propeller. The angle at which the blades are presented to the airflow creates this drag, as well as the rotation of the blades.

For variable pitch propellers, the blades can be feathered. That is, the blade angle is moved to approximately 90° where the blade angle of attack will be zero. The propeller will stop rotating, and the frontal profile of the blades is minimised (by "streamlining" them with the airflow.). This significantly reduces the drag of a failed engine, compared to a windmilling propeller.

The correct statement is therefore that the drag of a (1) windmilling propeller is larger than a (2) feathered propeller.