I purchased the custom levels pack, unzipped them and placed them in the data folder as instructed but they do not show up in the game. Am I missing something? Do I need to put them in a separate folder inside the data folder? Any help here would be much appreciated. 

You use the Level Editor to load the custom levels.

Click the Level Editor icon on the main menu. Select "Level" on the top right, click "Load". Select the level you want to play, and click "Play"

If you still can't get the simulator to find them, make sure you have the latest version of Recharged installed.

Thanks... In hindsight, that would make sense lol