As far as I understand the Google TOS, as long as you don't put Adsense code on a specific page, Google doesn't care what else you do with that specific page. So if you have http.hot-ladies-do-this-and-that.example.com with content matching the url but without Adsense code, it is ok to have http:all-about-the-feeding-procedure-of-the-west-african-parrot.example.com with content matching the url and with Adsense code. Sorry for the silly examples but I think you get the point.
However, I can't predict if G will be OK with your flash arcade site. G is very alert on copyright issues (concerning flash games and stuff).
Sorry, Jomaxx is right about this. I was a bit confused because the Adsense T&C state
You shall not (...) display any Ad (...) on any Web page or any Web site that contains any pornographic, hate-related, violent, or illegal content (...)
I don't understand wy both "Web page" and "Web site" are mentioned. I also think it is strange they don't mention the gambling part here. However, Jomaxx is right, no gambling on your "site". But the question Jomaxx raises is also very interesting: what is considered a "site"?