I've read before on this board that it's against Pogo's TOS to trade tokens from one account to another, but I haven't seen this in the TOS so someone emailed Pogo about it and got this response.
Response (GM Argain) 07/26/2005 10:21 AM
Hello,
It is not currently against our Terms of Service to intentionally lose games in order to give tokens to another player. Therefore, from what I can see, you have not violated any rules and no action will be taken against you or your sister regarding this issue.
Thank You,
Argain
Pogo.com
Pogo Support