I have the basics down now on how to get a new saber hilt model from MilkShape3D 1.7.0 Beta to the game.
My problem is that my saber blade is coming out at 90 degrees of the hilt.
It is are starting from the right place i.e. from the placement of the *blade tag but don't know why they are coming out the wrong way.
I have tried moving the tag, rotating the tag, and even imported a new tag from another model.
Any input would sure help.

I had that problem so I loaded the MD3 into MD3View (JK2 tools) and say the X axis was still pointing the wrong way on the tag and so worked out which way to rotate it to. Double check with MD3 view the X axis is in the right direction.

Thanks that was it.
Just didn't rotate it in the right direction the first few time. LOL