Step 1: Understanding the Concept
Most muscles, including skeletal, smooth and cardiac muscles, develop from mesoderm.
Step 2: Find the exception
The tongue muscles and the diaphragm are skeletal muscles and come from mesoderm. The muscles of the iris and ciliary body of the eye develop from ectoderm.
Step 3: Why the other options fail
Interstitial muscles, tongue muscles and the diaphragm all come from mesoderm, so they cannot be the exception.
Final Answer:
Mesoderm does not form the ciliary muscles.
\[ \boxed{\text{(B) }\text{ciliary muscles}} \]