Ok I know where you mean. First of all, forget about the hat, it's useless. Second, restart the level.
Now this time, when you rescue the Muds in the bunk rooms, bring them out of their rooms and leave them up there. Then, get Munch to use the crane to pick each of them up, and drop them on the other side of the room on the red and white targets.
Now they will pull the levers when you order them to. I don't know why but I'm guessing it's some sort of bug in the game. And you have to drop them on the target. I had the same problem and man it pissed me off.
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