Ok, I am just wondering lets say I have a video hosting site which is not running adsense ads and then I make a banner to my other site which is hosting adsense ads. Is that Allowed please let me know thanks alot.
I see no problem with that. You should check the adsense TOS for yourself if I were you and believe in your own judgement. Two of my friends are banned from google adsense for life because of not reading adsense TOS.
Doesn't seem to be against any point of the TOS, as far as I can tell. Unless the source site is in any way considered a spam site, that would be slightly bad for the other one... but other than that seems possible.
this is not againts on google terms, you can use it. try to email the support team also for you to get there best answer.