Selling content through PF... Allowed?

[Vnolan]

i dont know if this is through Gil or RMT

Mostly Paypal, though some will take gil if you're on the server.

but since this is so blatantly obvious i was wondering if this is even allowed

Selling for gil is fine. Selling for real money is against the ToS.

why is it allowed to go unpunished.

SE will only accept chat logs as evidence. The sellers request contact outside of the game and so there are no chat logs.

if SE is actually okay with this.

Hard to say. They've known about it for months yet do nothing when they could deal with it in a few minutes without having to ban anyone.