The texture I use are only 16bit since the model texture are almost monochrome. I have no problem with the incorrect mapping in geometry that are imported as mdl since I can export the same model in max and import it in MED with proper UV map. That way replacing model with invalid mapping with automatically update in WED. Problem is with level blocks, I tried adjusting the texture inside WED but I really can't get the mapping right. And even if I can I can't imagine doing it one by one in all blocks.

Just an update. The problem wasn't WED. It was 3DS MAX it self. I tried importing the level back in 3DS MAX but same issue. It doesn't preserve the texture coordinates. I'm still trying to figure out how to fix this in MAX.