i didn't know 3ds had that feature! you are talking about 3ds right? and not mesh?
edit: i tried that and it just put the whole .png on the screen section or messed up(out of place) on his skin!
also i get "matlib" not found what the hell is that!?
You're not very familiar with 3D programs are you? ^^;
In Max, press 'M' it should bring up the material window, then find material 1, scroll through the list of options, one should say something to the tune of 'Apply Bitmap' click that and it should bring you to a file window. Open your texture. Now select the object you want to apply it to and click the checkered cube icon in the Material window.
All of this is from memory, so some menus may not be perfect, I've been using Maya for the past 4 years because I loathe Max's interface.
Cloud will have several textures, and you may have to reapply them until find the right objects' material.