The easiest way to put your savegame back onto your Palm is to 'double-click' on the savegame file in the backup folder and it will be set up to install on your next hotsync. If you'd prefer, you can use the file transfer application that came with the T5 to transfer it manually.

When you refer to 'internal memory' are you talking about an expansion card or the T5's special internal flash drive? Are you running any kind of backup program (or third party launcher) that might have copied the program to the internal flash memory? That's the most likely reason that the game was in both places, since you can't run programs from the flash drive.