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Any ban listed on the profile will stop you from trading anything IN THE GAME YOU ARE BANNED FROM.
But a VAC ban only affects the game you're banned in, besides some exceptions.
For example: Are you VAC banned in Call of Duty Black Ops II?
-> No effects on CS:GO, you can still play and trade as you like - but you can't play BO2 on public servers again.
Are you game banned in PUBG (especially because you named it)?
-> No effects on CS:GO, you can still play and trade as you like, but you can't play PUBG like you're used to it again.
Are you VAC- or game banned in CS:GO?
You can't play on public servers anymore and you lost the ability to trade your CS:GO skins. But every other VAC-supported game will work like before, except some servers that doesn't allow the joining of banned players.
So if the other account also shows "game ban" in red text on it, that has nothing to do with VAC.
Not if the account has a VAC ban in CSGO. That is not possible. You are making some kind of mistake, in either understanding the ban or what game it is for.
Inventory is locked to a VAC banned account for that game the ban applies to :
https://support.steampowered.com/kb_article.php?ref=4044-qdhj-5691#items
EDIT................
Let's assume that the other account does in fact have a ban on the profile, and it is a VAC ban.
Even though we don't know, because you did not link to or post with that account :
https://support.steampowered.com/kb_article.php?ref=1047-edfm-2932#vac
VAC Ban
If a VAC Ban, cooldown or overwatch ban has been registered on your account, you will no longer have access to the CS:GO store, or be able to make trades for CS:GO items, and you will no longer receive item drops.
Steam Support cannot remove a VAC ban.
See the VAC FAQ and the I've Been Banned article to learn more about VAC Bans.