I made progress and in this phase I need some help to figure out why an outer for loop KSH variable does not decode in AWK but inner for loop does. Below is my code,
If I hard code variable 'SUBSEQ' in AWK it works but if I try to pass the SUBSEQ from KSH, it does not and when I pass the variable 'NAM' from KSH it works: I have all the file below. I need help so code gives output if I uncomment the line
#SUBSEQ = "'$sub'"; and comment out the hardcode
SUBSEQ = "0633-009_001200008|225065338468009";

Not following why the if block does not evaluate SUBSEQ if ( arr[j,1] == SUBSEQ && && arr[j,2] == NAM)

#! /bin/ksh


# read subject and sequence
set -A subseq_array $(<subseq.txt)


# read the applicable QVALS Order for the study ( can be from define)

set -A qnam_array $(<qnam.txt)


for sub in ${subseq_array[@]}
do
for n in ${qnam_array[@]}
do

#print $sub ;

`awk -F ':' 'BEGIN { }
{

{
#SUBSEQ = "'$sub'";
SUBSEQ = "0633-009_001200008|225065338468009";
NAM = "'$n'";
NULL = " |";
}



for(i=1;i<=NF;i++)
{
arr[NR,i]=$i;
}
}

END{


for(j=1;j<=NR;j++)
{

if ( arr[j,1] == SUBSEQ && arr[j,2] == NAM) {
{printf("%s|",arr[j,3]);}
exit; }
}



for(j=1;j<=NR;j++)
{


if ( arr[j,1] == SUBSEQ && arr[j,2] != NAM) {
{printf("%s",NULL);}
exit; }

}






}' supp_q.txt >> out1.txt`

done
print $sub >> out1.txt
break;
done



The files:
subseq.txt
=========

0633-009_001200008|225065338468009
0633-009_001200008|225065338468010
0633-009_001200009|225065338468008
0633-009_001200018|225065338468009
0633-009_001200018|225065338468011

qnam.txt
=======

CMBRTRM
CMCLAS1
CMCLAS2
CMCLAS3
CMCLSCD1
CMCLSCD2
CMCLSCD3
CMROUTE

source file that I am reading from
supp_q.txt
==========

0633-009_001200008|225065338468009:CMBRTRM:albuterol
0633-009_001200008|225065338468009:CMCLAS1:respiratory system
0633-009_001200008|225065338468009:CMCLAS2:drugs for obstructive airway diseases
0633-009_001200008|225065338468009:CMCLAS3:adrenergics for systemic use
0633-009_001200008|225065338468009:CMCLSCD1:R
0633-009_001200008|225065338468009:CMCLSCD2:R03
0633-009_001200008|225065338468009:CMCLSCD3:R03C
0633-009_001200008|225065338468010:CMCLSCD2:R03
0633-009_001200008|225065338468010:CMCLSCD3:R03C
0633-009_001200009|225065338468008:CMBRTRM:albuterol
0633-009_001200009|225065338468008:CMCLAS1:respiratory system
0633-009_001200009|225065338468008:CMCLAS2:drugs for obstructive airway diseases
0633-009_001200009|225065338468008:CMCLSCD3:R03C
0633-009_001200018|225065338468009:CMCLAS2:drugs for obstructive airway diseases
0633-009_001200018|225065338468011:CMROUTE:RESPIR
initial output file that I am writing to from AWK:
============
CMBRTRM|CMCLAS1|CMCLAS2|CMCLAS3|CMCLSCD1|CMCLSCD2|CMCLSCD3|CMROUTE|USUBJID|CMSEQ|

what the output needs to be:
========================

CMBRTRM|CMCLAS1|CMCLAS2|CMCLAS3|CMCLSCD1|CMCLSCD2|CMCLSCD3|CMROUTE|USUBJID|CMSEQ|
albuterol|respiratory system|drugs for obstructive airway diseases|adrenergics for systemic use|R|R03|R03C| |0633-009_001200008|225065338468009