So where the Hell do you find a 1/8" paper punch?
The only ones I find
seem to be closer to 3/16" or 1/4". Like the ones I used back when I
thought it was practical to flip TRS-80 diskettes. (It wasn't. They
worked -- for a while, especially when diskettes were $20+ per ten.)
Small dia. hammered punches, called "arch punches" (try General Tool Co.)
might be good. Any competent machinist should be able to convert a
astandard paper punch into a smaller one by turning down the punch and
fitting a bushing into the die.
manney(a)nwohio.com