As the third part in a series of papers on galaxies in the "zone of avoidance" (ZOA) of the Milky Way we present a compilation of 1161 galaxies discovered during a systematic search on Palomar Observatory Sky Survey (POSS) red-sensitive prints. The region searched comprises 200 square degrees, at 120deg<=l<=130deg, -10deg<=b<=+10deg. In addition to galactic, equatorial and rectangular coordinates, we list maximum and minimum optical diameters derived from both the red- and blue-sensitive prints, could assign a morphological type to some of the objects and made cross-checks with the IRAS PSC and several radio catalogues. A test for completeness suggests, that our catalogue should be complete down to a limiting galaxy-diameter of 0.35'. An asymmetric distribution of the galaxies with respect to the galactic equator was found and is discussed by comparing it with the locations of optically visible dust clouds and/or the distribution of IR-emitting dust material. A comparison between the distribution of the galaxies and the 100{mu} IRAS intensity maps led to the identification of four possible clusterings. As a byproduct of our galaxy search, two new planetary nebulae, nebulous stars at the position of a strong cold IRAS point source, and a nearby dwarf irregular galaxy could be detected.