you need to keep your mouse on each people's "strange" stuff (like an extra arm or a shadowy figure behind) until they go away. There is a timer for that guy coming, and you need to scare off the most people you can before that
i know, i already beat the game. i just wanted to know what would happen if you'd do nothing and he still says that i'm making the others uncomfortable. and i was like "HOWWWW AM I MAKING OTHERS UNCONFORTABLE"