OK. Now I understand it better.
You should give instance variable 'picked' for block (not for your collision object). Then when mouse is clicked use overlap and pick random instance conditions to pick one of the blocks that are overlapping the collision object. Set variable 'picked' to true for picked 'block'.
Then make two separate events:
'Block' is 'picked' -> Set 'Block' position to mouse.x mouse.y
Mouse On button released -> 'Block' Set 'picked' to false
The basic idea is to pick one block when mouse is clicked. Keep moving it to mouse position as long as the 'picked' variable is true. And finally set 'picked' variable false for all blocks when mouse button is released.
Instead picking random you can pick nearest if it works better for your game.