Don't worry about the second handle till you have it apart. It isn't working anymore right now anyway, or you wouldn't be in this predictament.

The second handle when adjusted properly works with the large handle. The last part of the act of releasing with the big handle is supposed to engage the small POS and put it to the right position to retract the large lever (which didn't happen and is now necessitating a fishing expedition).

Once you have the top off and lift the soft top out of the well you will be able to see how everything is supposed to work.