This is what I think happened: Midge was on the Island first and nothing like this happened until Amber came along. Midge was still the evil one Amber's personality was trapped inside Midge until Midge's brain was altered. Even though Amber had powers, Midge was the one truly manipulating Amber from the inside, bring urging Amber to use Midge's past memories. Amber only had these because they were connected, but Midge was too powerful and made Amber do things using her own personality. The body and personality was Amber's, the motive was Midge's. Notice how Amber was so much nicer after Midge was gone, and how she always told Mia that she wanted to be her friend? That was Amber's real personality coming through, but the latter was in Midge's "let's play dolls" twisted way. So Amber wasn't controlling Midge keeping her in a cage. Midge couldn't be kept in a cage. Her motives, her memories, shone through. And those memories forced Amber to recruit once "A-Listers" like Kayleigh and Jenna to be her followers. So in short, Midge was very well using Amber like a war machine. That girl can't be kept in a cage.
P.S: I think Midge hated Mia, Amber had no reason to.
P.P.S: Love this show.