Update

The hospital is now fully built. We had a lot of problems with the texturing of the hospital as the textures would appear fine in the Quark but when we opened it up in Torque and relighted the scene some of the textures had disappeared. We eventually figured out that this was because Torque requires all textures to be to a power of 2. We then changed the problem textures to be 256 by 256 inside in Quark and re-loaded the hopital in Torque. We still have to place the light nodes for the hospital correctly but are confident that there will be no major issues with this.
We have also gotten triggered sounds to work in Torque so now when the doctor approaches a patient (inside of the trigger area) or another doctor we can have a soundfile play and we can also have another sound play as he exits the trigger if we need to. We are now trying to implement a timer in the trigger to count how long you spend in the trigger and vary the resulting actions based on this time.
We have now added an option to the start screen of the game where the player will be able to enter his name and this information will be used throughout the game to identify the doctor.
Also, we have finally built our doctor character in 3ds Max and are able to bring him into Torque. However we have not been able to animate him using the .dsq files. We believe this is due to Torque requiring a certain amount of specific bones and nodes in order to match the .dts and .dsq files. Even when we edit the CFG file to bring in the required nodes and bones we are getting an error from Max. We have found a plugin for max that adds the correct bones for Torque but are having trouble getting it to work and we are currently working on this issue.