A Transnote is a very odd *First* Thinkpad to wind up with... the Transnote is a noticeably sought after oddball Thinkpad on this forum. It's one of my newer targets...
But to answer your question... it's probably better if you install a whole new operating system, Linux is fine. With a Pentium III and at least 64MB of RAM(It'd be nice to know what you have) you could get away with installing Windows XP or a very nice distro of Ubuntu. There's very few options with getting around the password of an NT version of windows.. and I'm not currently aware of any.
Sad you're missing the pen... that's not an easy part to come across. There is ONE sale on ebay now for a pen: http://www.ebay.com/itm/Cross-Tablet-St ... 415a5f45f3
But no worries-the Transnote is still very nice and quite capable as a machine. It might take some googling and asking on here, and some work... but it'll be a nice machine to use.
Although I'd possibly contemplate trading your Transnote for one of my much newer T60 laptops...
Aside from that-welcome to the forum, and we'd be more than happy to help you out best you can with any Thinkpad dilemma!