Hi Paul -
The oscillators for the CGM modules on HC08's were only designed for the 1 - 8MHz crystal range.
If you look at the Data Sheet in the General Description section:
"* Clock generation module supporting 1-MHz to 8-MHz crystals"
Then, back in the Electrical Characteristics in the 5.0-Volt Control Timing table it has under Frequency of operation that the crystal option is 1 to 8 MHz while the external clock option is dc to 32 MHz. So you can have up to a 32MHz external clock, but it means that you have to feed an externally generated square wave into the OSC1 pin.
- Rocky