Did you try switching the supply line and the line going to the bags?
From what you describe the valve is working fine: one position is neutral, one position fills the bags and one position drains the tanks. It is just plumbed wrong.
I am not sure but I think this is the one. The lever arm and or valve body may be oriented differently, but if your look at the valve as show in the photo with ports at 9, 12 and 3 o’clock you can compare them.
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