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You may find that your adjustment at the fan's TDC mark is for #1 cylinder TDC not #3 TDC. Remember the engine rotates twice for a complete cycle. (four stroke motor).
I suggest you take a look at the distributor rotor position, at TDC the rotor will be pointing to either #1 or #3 spark plug wire on the cap, rotate the engine 360 degrees and you will find that the rotor is now pointing at a different spark plug wire in the cap.
alternately you can stick a soft wood dowel (like a pencil) in to the spark plug hole of #3, and determine if #3 piston is indeed at top of stroke when fan indicates TDC, if it does not show the piston at top, then rotate the fan 360 degrees and see if #3 piston goes to the top.
remember it takes two rotations of the crank shaft to give one rotation of the cam, and distributor. you have to pick the correct TDC in order to adjust the valves. By only relying on the fans TDC mark, you have a 50-50 chance of hitting the correct location of valve adjustment, that TDC mark is the same for both #1 and #3 TDC.
for #2 and #4 TDC the fan mark is not factory included, but will be 180 degrees from the #1 and #3 TDC fan mark.
I am not sure what you mean by lapping cylinders to the head, do you mean valves lapped to the head?
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