With lunging: I personally would lunge him on a line (I am not sure if you free lunge, or line lunge) WITH A CHAIN OVER HIS NOSE. This will help with the "butt in the face". Do NOT let him stop until you want him to, and only towards you. If he does stop, yank his face toward you (he WILL do it with that chain over his nose) and drive him forward, HARD. I also agree that no one should be handling him until they are willing to take the time to establish their dominance over him. He is dangerous.
This drives me nuts.
Why just whap a chain on the horse, if it doesn't realise what you want it for?
If you do ever lunge on a chain (which I wouldn't recommend without trying a bridle and a direct line to the bit first) you need to make sure you do the ground work FIRST so he knows he has to have respect for the chain- pressure and release. There is no point putting it on and hoping for the best. The bones in a horse's face are extremely delicate.
When you lunge him, I suggest you do some groundwork first. Also, instead of a long lunge whip, get a nice short whip that will give him a good ol' smack on the behind. Don't be scared about hurting him, if a horse kicks him in a field, that is 100x times worse than you with a whip.
If he kicks you, try not to back off (unless you obviously have to dodge feet) square up to him, and give him a fair few good smacks on his rump.
He has little respect for you, or his boundries, or a whip.
My advice- get a trainer. Don't allow anyone else to handle him at the moment.. its too dangerous!
But, going back to my initial point- if he doesn't know what you're asking, don't expect the right answers.