A violation of any TOS regarding usage of internet or computer systems of an organization providing a service to you is illegal in my mind. No your act was not 'illegal' in the perfect sense but it was a violation of the terms of service for your school and therefore was wrong. I could not in good faith support any action on a computer system/network/server that violated the terms of service.
Tunneling is an answer to even productive software needs. When I was in college, my school's firewall blocked me from running things like instant messengers for a while (they eventually fixed that). Is it productive for me to chat online? No. Was it a cheap, effective way for me to stay in contact with my family. Yes.
Video games are a stress reliever and I'll help anyone find a way to play them and I don't think that is illegal.