I just did a quick test with 1.0.2 and it work fine.
I verified and twi_readFrom is declared on line 43 with me in Arduino 1.0.1 and Arduino 1.02.
As on your systems twi_readFrom is declared on line 45 you are not running a standard Arduino.
Please try installing a standard Arduino version (0022 0023 1.0 1.01 or 1.02) and try again.
Best regards
Jantje