Any ideas why 4x4 low engages but 4x4 hi doesn't the button lights up as if engaged but nothing
What do you mean by nothing? Front wheels won't spin?
When 4WD Lo is engaged are you sure the front wheels are engaged?
If the light isn't blinking then the system is receiving feedback that it is in 4WD (transfer case encoder and front diff actuator).
This being the case, if 4WD is not engaging then it would appear to be a mechanical problem. If the 4WD is working in 4Lo that would indicate the front diff is viable however if 4Hi is not engaging, under these conditions, this would be an indication, IMHO, of a mechanical issue in the transfer case.