Telepaths deserve better treatment, but acting like byron has been acting does not reflect well on them, to the point where even the general treatment of telepaths isn't a good excuse for him.
Why should Byron or the others care about galactic politics? So the Drazi are ambushing the Rangers. So what? Mundanes killing mundanes happens all the time. Telling the Rangers only means they'll have the opportunity to kill the Drazi first. From the telepath's PoV, it makes no difference and regardless, they're tired of being used by people who see them only as weapons and inquisitors. It's not their fight, it's not their responsibility, it's not their problem and they have more than enough of their own.
Have the Rangers gone out of their way to liberate them from Psi Corps? Have the Drazi given them reason to side against them? Why should they pick sides at all?
Also, as I understood it, aren't they "down below" because of the fact that the Psi Cops would catch them if they were more out in the open? That makes their living conditions something Sheridan can't change, since he can't change what would happen if the Psi Corp found out about a large group of rogue telepaths on the station. Anyway, on to the episodes I just watched.
Not at all. Babylon 5 may still an independent state but it's part of the ISA as is the Earth Alliance and under the rules of the ISA, the rights of member worlds to govern their own people as they see fit must be respected. Like it or not slavery is still legal on Centauri worlds, Gaim queens are free to eat their own advisors as they see fit and yes, these telepaths are still EA citizens so as the station is under EF command, they still fall under Psi Corps jurisdiction.
In short, where they are on the station makes no difference whatsoever. Legally speaking, these people belong to Psi Corps and hiding in downbelow won't deter a Psi Cop and a squad of bloodhouds from hunting down a group of blips. These guys are used to hunting down lone blips hiding in Earth cities and off-world colonies where there's more than enough places to hide and billions of people to blend in with. A mere five mile long tin can with nowhere to run but hard vacuum and a population made up of just as many aliens as humans? Child's play.
The reason they were given a place in downbelow and not somewhere else was because it's cheap, convenient and makes them accessible if their services are needed somewhere down the line. It's not like the colony is being kept a secret. Whole groups of rogue telepaths are arriving through customs for all to see.
As for Lochley...try not to paint things in such black and white terms (like Garibaldi does.) There were a LOT of EF officers in the civil war who didn't side with Sheridan and it wasn't because they were all morons or cartoon villains. Most weren't in possession of all the facts and didn't have the same view of events as we the viewers did. Even the crew of Sheridan's old ship, people who knew and respected him began to buy into the propaganda...until the orders came down to attack civilian targets. Even then, the decision to desert had to be put to a vote.
Though it's never fully explained, in Lochley's case it appears that she was the CO of some backwater posting; a small colony or some-such. As a result, most of what was going on would have been pretty distant since her only sources of information would have been ISN and whatever intelligence reports Earth Central might have sent her. So unless she saw with her own eyes a VERY good reason to do otherwise (like, for example receiving illegal orders to murder unarmed civilians), her duty was to stay at her post and look after the people under her command.