I don't think the problem is the lookup in the first place.
If your NSQL is something like
@where:PARAM:USER_DEF:INTEGER:OBS_ID@ IS NULL or @where:PARAM:USER_DEF:INTEGER:OBS_ID@=some_ID_from_the_query)
and maybe supplemented with the association mode the structure is such that it will automatically default to single select as it cannot handle more than one value. No lookup of any kind will change that.
I should use the type of OBS unit filter (which is not supposed to work).
What you would have to have is the display field to be Unit name and the hidden field the unit id which has to be in the NSQL query as well.
I am not sure if the association mode work with that.