"He replies to me."
Translation:Il me répond.
Yes. It is tricky here because me is an indirect object pronoun but also a direct object pronoun, so you don't see the difference between:
Il me répond → répondre à → indirect object
Il me regarde → regarder (no preposition) → direct object
But with the third person singular, you see the difference
Il la regarde → direct object pronoun
Il lui répond → indirect object pronoun