UNITED STATES SECURITIES AND EXCHANGE COMMISSION
                                 Washington, D.C.  20549

                                  FORM 10-K

           [X]   ANNUAL REPORT PURSUANT TO SECTION 13 OR 15(d) OF
                         THE SECURITIES EXCHANGE ACT OF 1934

                    For the fiscal year ended MARCH 31, 1997

                                     OR

          [   ]    TRANSITION REPORT PURSUANT TO SECTION 13 OR 15(d) OF
                        THE SECURITIES EXCHANGE ACT OF 1934

          For the transition period from                to                 

          Commission File Number 33-11807

                             JHM ACCEPTANCE CORPORATION III
              (Exact name of registrant as specified in its charter)

                  MARYLAND                           52-1439055
        (State or other jurisdiction of           (I.R.S. Employer
         incorporation or organization)          Identification No.)

       8300 GREENSBORO DRIVE, SUITE 970, MCLEAN, VA      22102
       (Address of principal executive offices)        (Zip Code)

       Registrant's telephone number, including area code:  703-749-8240

       c/o EXECUTIVE OFFICES, INC., 42-C READ'S WAY, NEW CASTLE, DE  19720     
	       (Former address if changed from last report)

       Securities registered pursuant to Section 12(b) of the Act:  NONE

       Securities registered pursuant to Section 12(g) of the Act:  NONE

      Indicate by check mark whether the registrant (1) has filed all reports
      required to be filed by Section 13 or 15(d) of the Securities Exchange
      Act of 1934 during the preceding 12 months (or for such shorter period
      that the registrant was required to file such reports), and (2) has
      been subject to such filing requirements for the past 90 days.
      Yes         X         No  

      State the aggregate market value of the voting stock held by non-
      affiliates of the registrant:  NONE

      At June 25, 1997, the registrant had 677 shares of common stock
      outstanding all of which were held by an affiliate.

<PAGE>
                         JHM ACCEPTANCE CORPORATION III
                                  Form 10-K
                                March 31, 1997

                              TABLE OF CONTENTS

                                   PART I

                                                                  Page

Item 1. Business                                                   3-4
Item 2. Properties                                                   5
Item 3. Legal  Proceedings                                           5
Item 4. Submission of Matters to a Vote of Security Holders          5

                                 PART II

Item 5. Market for the Registrant's Common Equity and Related
         Stockholder Matters                                         6
Item 6. Selected Financial Data                                      7
Item 7. Management's Discussion and Analysis of Financial
         Condition and Results of Operations                         8
Item 8. Financial Statements and Supplementary Data               9-16   
Item 9. Changes in and Disagreements with Accountants on
         Accounting and Financial Disclosure                        17 

                                 PART III

Item 10. Directors and Executive Officers of the Registrant         18    
Item 11. Executive Compensation                                     19
Item 12. Security Ownership of Certain Beneficial Owners
          and Management                                            19 
Item 13. Certain Relationships and Related Transactions             19

                                 PART IV

Item 14. Exhibits, Financial Statement Schedules, and Reports    
          on Form 8-K                                            20-21   

Signatures                                                          22

<PAGE>

                                 PART I


Item 1. Business

JHM Acceptance Corporation III ("JMAC III") was organized as a Maryland
corporation on December 16, 1985.  JMAC III is a limited-purpose financing
corporation organized to issue and sell bonds, notes and obligations and to
acquire, own, hold and pledge mortgage-backed certificates ("Mortgage
Certificates") issued and guaranteed as to principal and interest by the
Government National Mortgage Association, the Federal National Mortgage 
Association, the Federal Home Loan Mortgage Corporation and obligations of
others which are secured by these types of instruments, mortgages and other
mortgage-related collateral.

JMAC III filed a Registration Statement with the Securities and Exchange
Commission which became effective March 31, 1986, registering its
collateralized mortgage obligations ("Bonds") in the aggregate principal
amount of $1.0 billion.  Between June 30, 1986 and October 30, 1986, JMAC III
issued its Series A, Series B and Series C Bonds, totaling $450,000,000 secured
by Mortgage Certificates with a similar aggregate principal amount.  On
February 6, 1987, JMAC III filed an additional bridge shelf registration
providing for the issuance of up to $850,000,000 aggregate principal amount
of Bonds.

During 1987, JMAC III issued its Series D and Series E Bonds totaling
$800,828,000 collateralized by Mortgage Certificates with an aggregate
principal amount of approximately $800,000,000.  JMAC III sold its entire
interest in the future economic benefit in the Mortgage Certificates securing
the Series D and E Bonds for $32,200,000 simultaneously with the sale of the
Bonds. 

JMAC III's Series F Bonds were also issued in 1987 in the aggregate principal
amount of $400,100,000 collateralized by Mortgage Certificates having an
aggregate principal balance of approximately $400,000,000.  During 1987, 
JMAC III sold the residual cash flow streams related to its Series A, Series
B, Series C and Series F Bonds for approximately $8,438,000, net of sales
expenses.  

During 1988, all of the issued and outstanding capital stock of JMAC III was
purchased by JDS Capital Corporation, formerly known as JHM Capital
Corporation ("JCC") as part of an overall transaction involving the purchase
of several corporations by JCC.  Of the purchase price, $1,000 was allocated
to JMAC III based upon the perceived value of its underlying assets and
liabilities.  

Each series of JMAC III's Bonds is secured by collateral consisting of Mortgage
Certificates pledged in connection with such Bond series.  The collateral for
each series is pledged with a trustee on behalf of the holders of the Bonds
of each series and is not available for payment of Bonds of any other series
or any other liabilities of JMAC III.  Management believes that distributions
on the Mortgage Certificates pledged as collateral for each series of Bonds
issued by JMAC III will be sufficient to pay the Bonds in accordance with their
terms.  The Bonds are rated "AAA" by Standard & Poor's Corporation.

JDS Financial Services Corporation ("JFSC"), a wholly-owned subsidiary of JCC
provides management, administrative, and investment services to JMAC III under 
an administration agreement ("Administration Agreement").

<PAGE>
The principal business of JFSC is the management and structuring of the
mortgage-backed securities and related transactions for JMAC III, its
affiliates and third party customers.  Pursuant to the Administration
Agreement, JFSC will provide management, administrative and investment
services to JMAC III.  JMAC III does not have any employees.

JMAC III had been active in the issuance of arbitrage collateralized mortgage
obligations.  However, numerous other well-known national financing and
investment banking companies issue arbitrage collateralized mortgage
obligations.  In addition, Federal National Mortgage Association and Federal
Home Loan Mortgage Corporation have become the dominant issuers of
collateralized mortgage obligations.  These companies and agencies offer
intense competition in the business and many are much larger in size and have
greater financial resources than JMAC III.  However, JMAC III expects that it
may issue additional series of Bonds.  
<PAGE>

Item 2. Properties

JMAC III does not own any real property for use in connection with its
operations.

Item 3. Legal Proceedings

Inapplicable.

Item 4. Submission of Matters to a Vote of Security Holders

Inapplicable.

<PAGE>

                                PART II


Item 5. Market for the Registrant's Common Equity and Related Stockholder
         Matters

(a) Market Information

No public trading market exists for the common stock of JMAC III

(b) Holders

As of June 25, 1997, all the common stock of JMAC III was owned by one
stockholder.

(c) Dividends

No dividends have been declared or paid for the year ended March 31, 1997.
<PAGE>
<TABLE>

Item 6.	Selected Financial Data

The selected financial data of the Registrant set forth below should be read
in conjunction with the Registrant's financial statements and the notes
thereto included in Item 8 in the Registrant's Form 10-K.

                                         Income Statement Data
<CAPTION>

                  For the      For the      For the      For the      For the
                 year ended   year ended   year ended   year ended   year ended
                  March 31,    March 31,    March 31,    March 31,    March 31,
                    1997         1996         1995         1994         1993
                 ----------   ----------   ----------   ----------   ---------- 
<S>              <C>          <C>          <C>          <C>          <C>          


Total Revenues   $       0     $      0     $      0     $       0   $       0

Net Loss                 0       (1,000)      (1,000)            0      (1,000)
</TABLE>
<TABLE>

                                   Balance Sheet Data
                                    As of March 31,
<CAPTION>

                    1997         1996        1995         1994         1993
                 ----------    ----------  ----------   ----------  ---------- 
<S>              <C>           <C>         <C>          <C>         <C>

Total Assets     $       0     $   1,000    $  1,000    $   1,000   $   1,000

Stockholder's
 Equity	                 0         1,000       1,000        1,000       1,000
</TABLE>
  <PAGE>

Item 7. Management's Discussion and Analysis of Financial Condition
             and Results of Operations

Capital Resources and Liquidity

JMAC III's sources of funds with respect to its Bonds are receipts of principal
and interest on the Mortgage Certificates, pledged as collateral for each
series of Bonds, and the reinvestment income thereon. Management believes
that these sources of funds will be sufficient to pay the Bonds in accordance
with their terms.  As of March 31, 1988, JMAC III had sold the residual cash
flows for all of its outstanding series.  As a result, JMAC III currently has
(a) no sources of cash flow from operations as all cash flows from the
Mortgage Certificates are restricted and must be paid first to the bondholders
and then any excess (net of expenses) is distributed to the residual interest
holders; and (b) no responsibility for expenses related to its remaining
series. As a consequence, in accordance with the guidance given by the Emerging
Issues Task Force in Issue No. 89-4, "Accounting for a Purchased Investment
in a Collateralized Mortgage Obligation Instrument", such issuances are not
consolidated by JMAC III.  In connection with the subsequent sales of the
residual cash flow streams of its Series A, Series, B, Series C and Series F
Bonds, JMAC III recorded the net proceeds as sales after deducting sales
expenses.  Additionally, residual interests resulting from the issuance of
Series D and Series E were sold simultaneously with the related bond issuance
and treated as sales.  

At March 31, 1997 JMAC III had a remaining balance available for issuance of
additional bonds of $199,000,000 from previous shelf registrations. 

Results of Operations

JMAC III executes arbitrage collateralized mortgage obligations and
simultaneously or subsequently sells the residual cash flows created by these
transactions.  JMAC III issued its Series A, Series B and Series C  Bonds in
1986 and Series D, Series E and Series F in February 1987, April 1987 and
May 1987, respectively.  

Effects of Inflation

The level of inflation that our economy experiences will affect the amount of
interest charged on fixed-rate mortgages similar to those underlying the
Mortgage Certificates used to secure the Bonds. Generally, when interest
rates on fixed-rate mortgages are above the level charged on the underlying
mortgages securing the Bonds, prepayments will be slower, while when interest
rates are below the level of the underlying mortgages securing the Bonds, 
prepayments will be faster due to refinancing of the underlying mortgages.
In no case would the level of scheduled payments on the underlying mortgages 
extend the maturity of the Bonds beyond the stated maturity, but the level of
prepayments could result in one or more classes of Bonds being paid in full
prior to their stated maturity. 

<PAGE>
Item 8.	Financial Statements and Supplementary Data

                           INDEX TO FINANCIAL STATEMENTS


                                                                        Page
                                                                        ----
JHM Acceptance Corporation III

Report of Independent Public Accountants                                 10
Balance Sheets as of March 31, 1997 and March 31, 1996                   11
Statements of Loss for the Years Ended March 31, 1997, 
  March 31, 1996 and March 31, 1995                                      12 
Statements of Changes in Stockholder's Equity for the
  Years Ended March 31, 1997, March 31, 1996                    
  and March 31, 1995                                                     13
Statements of Cash Flows for the Years Ended
  March 31, 1997, March 31, 1996 and March 31, 1995                      14
Notes to Financial Statements                                         15-16

<PAGE>

REPORT OF INDEPENDENT PUBLIC ACCOUNTANTS


To the Board of Directors of
JHM Acceptance Corporation III:

We have audited the accompanying balance sheets of JHM Acceptance
Corporation III (the "Company," a Maryland corporation and a wholly owned
subsidiary of JDS Capital Corporation) as of March 31, 1997 and 1996, and the
related statements of loss, changes in stockholder's equity and cash flows
for each of the three years in the period ended March 31, 1997.  These
financial statements are the responsibility of the Company's management.  Our
responsibility is to express an opinion on these financial statements based
on our audits.

We conducted our audits in accordance with generally accepted auditing
standards.  Those standards require that we plan and perform an audit to
obtain reasonable assurance about whether the financial statements are free
of material misstatement.  An audit includes examining, on a test basis,
evidence supporting the amounts and disclosures in the financial statements.
An audit also includes assessing the accounting principles used and
significant estimates made by management, as well as evaluating the overall
financial statement presentation.  We believe that our audits provide a
reasonable basis for our opinion. 

In our opinion, the financial statements referred to above present fairly,
in all material respects, the financial position of JHM Acceptance
Corporation III as of March 31, 1997 and 1996, and the results of its
operations and its cash flows for each of the three years in the period ended
March 31, 1997, in conformity with generally accepted accounting principles.




                                     Arthur Andersen LLP  

Washington, D.C.,
June 25, 1997
<PAGE>
<TABLE>

                          JHM ACCEPTANCE CORPORATION III
                                BALANCE SHEETS
                         As of March 31, 1997 and 1996
<CAPTION>
                                             1997                  1996
                                         -----------           ----------
<S>                                      <C>                   <C>

ASSETS

Cash                                     $       0            $    1,000
                                         ----------            ----------                                           
Total Assets                                     0                 1,000

STOCKHOLDER'S EQUITY

Common stock - $10 par value,
 10,000 shares authorized, 677 shares
 issued and outstanding                       1,000                 1,000
Additional paid-in capital                    5,000                 5,000
Retained deficit                             (6,000)               (5,000)
                                         ----------            ----------
Total Stockholder's Equity                        0                 1,000
                                         ----------            ----------
Total Liabilities and
 Stockholder's Equity                    $        0            $    1,000
<FN>
The accompanying notes are an integral part to these statements.
</TABLE>
<PAGE>
<TABLE>
                             JHM ACCEPTANCE CORPORATION III
                                  STATEMENTS OF LOSS
                    For the Years Ended March 31, 1997, 1996 and 1995

<CAPTION>
                              1997            1996             1993
                          ------------     ------------     ------------     
<S>                       <C>              <C>              <C>

REVENUES

Interest and other income  $       0       $       0        $       0

Total revenues                     0               0                0
                           ---------       ---------        ---------
EXPENSES

Accounting, legal,
 administrative and
 other expenses                1,000           1,000            1,000
                           ---------       ---------        ---------
Total expenses                 1,000           1,000            1,000             
                           ---------       ---------        ---------
Net loss                   $  (1,000)      $  (1,000)       $  (1,000)

<FN> 
The accompanying notes are an integral part of these statements.
</TABLE>
<PAGE>
<TABLE>

                            JHM ACCEPTANCE CORPORATION III
                  STATEMENTS OF CHANGES IN STOCKHOLDER'S EQUITY
                 For the Years Ended March 31, 1997, 1996 and 1995

<CAPTION>
                                          Additional
                              Common       Paid-In      Retained
                              Stock        Capital      Deficit       Total
                              -------   -----------  ------------  ---------- 
<S>                           <C>        <C>         <C>           <C>  
Balance, March 31, 1994       $ 1,000    $  3,000    $   (3,000)   $   1,000

Net loss                            0       1,000        (1,000)      (1,000)
                              -------   ---------     ---------    --------- 
Balance, March 31, 1995         1,000       4,000        (4,000)       1,000

Capital contribution                0       1,000             0        1,000

Net loss                            0           0        (1,000)      (1,000)
                              -------   ---------     ---------    ---------  
Balance, March 31, 1996         1,000       5,000        (5,000)       1,000

Capital contribution                0           0             0            0

Net loss                            0           0        (1,000)      (1,000)   
                              -------   ---------    ----------    ---------
Balance, March 31, 1997       $ 1,000    $  5,000      $ (6,000)   $       0

<FN>
The accompanying notes are an integral part of these statements. 
</TABLE>
<PAGE>
<TABLE>
                            JHM ACCEPTANCE CORPORATION III
                              STATEMENTS OF CASH FLOWS
                 For the Years Ended March 31, 1997, 1996 and 1995

<CAPTION>
                                        1997            1996         1995                                     
                                    ------------   ------------  ------------ 
<S>                                 <C>            <C>           <C>

CASH FLOWS FROM OPERATING ACTIVITIES:

Net loss                            $    (1,000)   $    (1,000)   $   (1,000)                                  
Net cash used in operating
  activities                             (1.000)        (1,000)       (1,000)
                                    -----------     -----------   -----------
CASH FLOWS FROM FINANCING ACTIVITIES:

Capital contribution                $         0     $     1,000   $    1,000
                                    -----------     -----------   -----------  
Net cash provided by financing
  activities                                  0           1,000        1,000
                                    -----------     -----------   -----------
Net increase in cash                          0               0             0

Cash, beginning of period                 1,000           1,000         1,000
                                    -----------     -----------   -----------
Cash, end of period                 $         0    $      1,000   $     1,000
<FN>
The accompanying notes are an integral part of these statements. 
</TABLE>
<PAGE>
                  
                            JHM ACCEPTANCE CORPORATION III
                            NOTES TO FINANCIAL STATEMENTS
                            As of March 31, 1997 and 1996


Note 1. Organization

JHM Acceptance Corporation III ("JMAC III") was organized as a Maryland
corporation on December 16, 1985.  JMAC III was organized for the purpose of
issuing and selling collateralized mortgage obligations ("CMOs" or "Bonds"),
other notes and obligations, and acquiring, owning, holding, and pledging
Mortgage-Backed Certificates guaranteed by the Government National Mortgage
Association ("GNMA Certificates"), Guaranteed Mortgage Pass-Through
Certificates issued by the Federal National Mortgage Association ("FNMA
Certificates"), Mortgage Participation Certificates issued by the Federal
Home Loan Mortgage Corporation ("FHLMC Certificates")--collectively, the
"Mortgage Certificates," and obligations of others that are secured by the
types of instruments referred to above, mortgages and other mortgage-related
collateral.

Note 2. Basis of Presentation

As of March 31, 1988, JMAC III had sold the residual cash flows for all
outstanding series of Bonds.  As a result, JMAC III currently has no sources of
cash flows from operations.  All cash flows from the Mortgage Certificates are
restricted and must be paid first to the bondholders and then any excess (net
of expenses) is distributed to the residual interest holders.  JMAC III has no
responsibility for expenses related to its remaining series.  An affiliate,
also owned by JCC, performs the administration for JMAC III's issuances, and
has agreed to defer fees for such services to the extent that the fees exceed
currently available excess cash flows.  

Based on guidance promulgated by the Emerging Issues Task Force Issue
No. 89-4, "Accounting for a Purchased Investment in a Collateralized-Mortgage
Obligation Instrument," JMAC III has not consolidated the accounts of CMO
issuances in which the entire interest in future economic benefits has been
sold.

JMAC III had been active in the issuance of arbitrage collateralized mortgage
obligations.  However, numerous other well-known national financing and
investment banking companies issue arbitrage collateralized-mortgage 
obligations.  In addition, the Federal National Mortgage Association and the
Federal Home Loan Mortgage Corporation have become the dominant issuers of
collateralized mortgage obligations.  These companies and agencies offer 
intense competition in the business, and many are much larger in size and have
greater financial resources than JMAC III.  However, JMAC III expects that it
may issue an additional series of Bonds.

Preparation of financial statements in conformity with generally accepted
accounting principles requires management to make estimates and assumptions 
that could affect the amounts represented in the financial statements and 
accompanying notes.  Actual results could differ from these estimates.  

<PAGE>
Note 3. Summary of Significant Accounting Policies

Income Taxes

In accordance with an informal tax-sharing plan, JMAC III files a consolidated
tax return with its parent, JDS Capital Corporation.   In accordance with the
plan, JMAC III receives no benefit for net operating losses.  No significant
timing differences exist as of March 31, 1997.  No provision for taxes has
been recorded for the years ended March 31, 1997, and March 31, 1996, due to
net operating losses.

Note 4.Transactions with Affiliates

JMAC III has an administration agreement (the "Administration Agreement") with
JDS Financial Services Corporation ("JFSC"), a wholly owned subsidiary of
JCC.  Pursuant to the Administration Agreement, JFSC receives bond
administration fees for the three series of Bonds.  These fees are paid from
cash flows accruing to the holders of the residual interests.  JMAC III has no
responsibility for expenses related to its remaining series.  JFSC performs
the administration for JMAC III's issuances and has agreed to defer fees for
such services to the extent that the fees exceed currently available excess
cash flows. 

<PAGE>
Item 9.  Changes in and Disagreements with Accountants on Accounting and
           Financial Disclosure

Inapplicable.

<PAGE>

                                PART III


Item 10.  Directors and Executive Officers of the Registrant

The directors and executive officers of JMAC III are as follows:

Stephen P. Gavula                  Chairman of the Board of Directors
                                   and Chief Executive Officer

Carole R. Parker                   Vice President, Secretary and
                                   Chief Financial and Accounting Officer



The ages and principal occupations, for at least the last five years, of the
persons named in the foregoing table are as follows:

STEPHEN P. GAVULA (47) has been Chairman of the Board of Directors and Chief
Executive Officer since February, 1988. He also serves in the same capacities
for JCC, JFSC and JHM Acceptance Corporation ("JMAC").  From August, 1987
through August, 1994, Mr. Gavula served in similar capacities for JHM
Mortgage Capital Corporation ("JMCC"). Prior to February, 1988, Mr. Gavula
had been President and Chief Operating Officer of Oxford Mortgage Securities
Corporation ("OMSC"), Oxford Acceptance Corporation ("OAC"), Oxford
Acceptance Corporation III ("OAC III") and Oxford Acceptance Corporation IV
("OAC IV") since their organization.  Mr. Gavula is a graduate of Fordham
University.

CAROLE R. PARKER (55) has been Vice President of JMAC III since April, 1988,
and Secretary and Chief Financial and Accounting Officer since April, 1997. 
She also serves in the same capacity for JMAC and as Vice President and
Secretary of JCC and JFSC.  From April, 1988 through April, 1997, she served
as Vice President and Assistant Secretary of the above entities.  From
August, 1987 through August, 1994, Mrs. Parker was Vice President and
Assistant Secretary of JMCC. Prior to April, 1988, Mrs. Parker was an officer
of OMSC, OAC, OAC III and OAC IV since their organization.

All directors and executive officers of JMAC III will serve in their respective
positions until successors are chosen.

(d) Family relationships.  Inapplicable.

(f) Involvement in Certain Legal Proceedings.  Inapplicable.

(g) Promoter and Control Persons.  Inapplicable.

<PAGE>
Item 11.Executive Compensation

Directors and officers do not receive any remuneration from JMAC III.  JMAC III
has entered into an Administration Agreement with JFSC whereby JFSC will
provide management, administrative and investment services to JMAC III.

Item 12. Security Ownership of Certain Beneficial Owners and Management

(a) Security Ownership of Certain Beneficial Owners; and,

(b) Security Ownership of Management

                  Name and Address        Amount and Nature of
 Title of Class     of Owner              Beneficial Ownership      % of Class

 Common Stock   JDS Capital Corporation       677 Shares               100%
                Executive Offices, Inc.
                42C Read's Way
                New Castle, Delaware  19720

(c) Changes in Control

On March 31, 1997, JCC redeemed a 31.25% ownership interest in the
outstanding equity interests of JCC.  As a result of this redemption,
Stephen P. Gavula is the owner of 100% of the outstanding equity interests
of JCC.  Prior to this redemption, Mr. Gavula owned 68.25% outstanding equity
interests of JCC.

Item 13. Certain Relationships and Related Transactions

(a)  Transactions with Management and Others:

     Inapplicable.

(b)  Certain Business Relationships:

     Inapplicable.

(c)  Indebtedness of Management:

     Inapplicable.

(d)  Transactions with Promoters:

     Inapplicable.
<PAGE>
                                  PART IV

Item 14.Exhibits, Financial Statement Schedules and Reports on Form 8-K

(a)(1)  Financial Statements:

        See the index to Financial Statements on page 9 for a list of all
        financial statements filed as required by Item 8 of this report.

   (2)  Financial Statement Schedules:

        Financial Statement Schedules are omitted because the required
        information is inapplicable, or it is in the financial statements or
        notes thereto.

   (3)  Exhibits:

   3.1  Articles of Incorporation of Registrant (incorporated by reference to
        Exhibit 3(a) to Registrant's Registration Statement on Form S-11
        (No. 33-2416) filed with the Commission on December 24, 1985)

   3.2  Articles of Incorporation of Registrant (incorporated by reference to
        Exhibit 3(a) to Registrant's Registration Statement on Form S-11
        (No. 33-2416) filed with the Commission on March 26, 1986)

   3.3  By-laws of Registrant (incorporated by reference to Exhibit 3(b)
        Registrant's Registration Statement on Form S-11 (No. 33-2416) filed
        with the Commission on December 24, 1985)

   4.1  Form of Indenture (incorporated by reference to Exhibit 4(a) to 
        Amendment No. 2 to Registration Statement on Form S-11 (No. 33-2416)
        filed with the Commission on December 24, 1985)

   4.2  Form of Indenture (incorporated by reference to Exhibit 4(a) to 
        Amendment No. 2 to Registration Statement on Form S-11 (No. 33-2416)
        filed with the Commission on March 26, 1986)

   4.3  Form of Indenture Supplement between Registrant and Trustee
        (incorporated by reference to Exhibit 4(b) to Registrant's 
        Registration Statement on Form S-11 (No. 33-2416) filed with the
        Commission on February 26, 1986)

   4.4  Form of Guaranty Agreement with Respect to Single-Family (Level Payment)
        Mortgage-Backed Certificates between Servicer and GNMA (incorporated
        by reference to Exhibit 4(c) to Registrant's Registration Statement on
        Form S-11 (No. 33-2416) filed with the Commission on December 24, 1985)

   4.5  Form of Guaranty Agreement with Respect to Graduated Payment Mortgage-
        Backed Certificates between Servicer and GNMA (incorporated by
        reference to Exhibit 4(d) to Registrant's Registration Statement on
        Form S-11 (No. 33-2416) filed with the Commission on December 24, 1985)

   4.6  Form of Schedule of Subscribers and GNMA II Contractual Agreement
        (incorporated by reference to Exhibit 4(e) to Registrant's
        Registration Statement on Form S-11 (No. 33-2416) filed with the
        Commission on December 24, 1985)
<PAGE>
   4.7  Trust Indenture of Federal National Mortgage Association and Sixth
        Supplemental Indenture thereto (incorporated by reference to Exhibit
        3(a) to Registrant's Registration Statement on Form S-11
        (No. 33-2416) filed with the Commission on December 24, 1985)

   4.8  Form of Indenture dated June 1, 1986 between the  Registrant and 
        The First National Bank of Chicago, as Trustee (incorporated by
        reference to Exhibit 2 to the Registrant's Current Report on Form
        8-K dated June 30, 1876)

   4.9  Series A Supplement to the Indenture between the Registrant and
        Trustee, dated June 15, 1986 (incorporated by reference to Exhibit
        3 to the Registrant's Current Report on Form 8-K dated June 30,
        1986)

   4.10 Series B Supplement to the Indenture between the Registrant and
        Trustee, dated July 30, 1986 (incorporated by reference to Exhibit
        3 to the Registrant's Current Report on Form 8-K dated July 30, 1986)
 
   4.11 Series C Supplement to the Indenture between the Registrant and
        Trustee, dated October 30, 1986 (incorporated by reference to Exhibit
        3 to the Registrant's Current Report on Form 8-K dated October 30, 1986)

   4.12 Series D Supplement to the Indenture between the Registrant and
        Trustee, dated February 27, 1987 (incorporated by reference to Exhibit
        4 to the Registrant's Current Report on Form 8-K dated February
        27, 1987)

   4.13 Series D Supplement to the Indenture between the Registrant and]
        Trustee, dated February 27, 1987 (Schedule A to exhibit was illegible
        in previous filing) incorporated by reference to Exhibit 4(b) to the 
        Registrant's March 31, 1987 Quarterly Report on Form 10-Q)

   4.14 Amendment No. 1, dated April 1, 1987, to the Series D Supplement
        to the Indenture between the Registrant and Trustee, dated February 
        27, 1987 (incorporated by reference to Exhibit 4(c) to the Registrant's 
        March 31, 1987 Quarterly Report on Form 10-Q)

   4.15 Series E Supplement to the Indenture between the Registrant and
        Trustee dated April 29, 1987 (incorporated by reference to Exhibit
        4(d) to the Registrant's March 31, 1987 Quarterly Report on Form
        10-Q)

   4.16 Series F Supplement to the Indenture between the Registrant and 
        Trustee, dated May 28, 1987 (incorporated by reference to Exhibit
        4(b) to the Registrant's Current Report on Form 8-K dated 
        February 27, 1987)

  10.1  Form of Administration Agreement between Registrant and Oxford 
        Mortgage Securities Corporation (incorporated by reference to Exhibit
        10(a) to Registrant's Amendment No. 1 to Registration Statement on 
        Form S-11 (No. 33-2416) filed with the Commission on February 26, 1986)

(b)    JMAC III filed no reports on Form 8-K during the quarter ended March 31,
       1996.


<PAGE>

                                 SIGNATURES


Pursuant to the requirements of Section 13 or 15(d) of the Securities
Exchange Act of 1934, the Registrant has duly caused this report to be signed
on its behalf by the undersigned, thereunto duly authorized.

                           JHM ACCEPTANCE CORPORATION III
                                   Registrant





June 25, 1997                        Stephen  P.  Gavula
Date                                 Stephen  P.  Gavula
                                     Chairman of the Board of Directors
                                     and Chief Executive Officer 
                                     

Pursuant to the requirements of the Securities Exchange Act of 1934, this
report has been signed below by the following persons on behalf of the
Registrant and in the capacities and on the dates indicated.






June 25, 1997                        Stephen  P.  Gavula
Date                                 Stephen  P.  Gavula
                                     Chairman of the Board of Directors
                                     and Chief Executive Officer 
 



June 25, 1997                        Carole R. Parker
Date                                 Carole R. Parker
                                     Vice President and Chief Financial
                                     and Accounting Officer