You're not the first to report an issue using the tokentool. So to check I just downloaded it and tested it....and it worked flawlessly. Not helping, I know.
So lets go through this.
1. having winrar is a bit of a pain as it associates itself with .jar files and screws up the java link. I gathered that you already 'unlinked' it.
2. AFTER you have unlinked winrar I strongly suggest that you uninstall ALL java versions and download a new version (its quite likely that due to the winrar association, all kind of stuff get FUBnAR).
3. Download the correct java version. I assume you have a x64 bit OS and the default java is x32 so you need to download it manually from here: https://www.java.com/nl/download/manual.jsp
4. install java
5. run "tokentool-1.0.b28.jar" but simply double clicking on it.