I have installed HC8 build9 on the dynamic Crm machine when try to create crm site from panel, the status showing pending and after almost 5 minutes the process became fail.
In the event viewer the error related to the .net exception but not giving the exact idea which causing this problem.
Note: I am able to create crm site directly in the dynamic crm but not from panel.
 

Forgot to mention that I am using Sql server 2005 for dynamic CRM on remote machine, does HC support this type of configuration ?

have you followed this article provided by hosting controller http://portal.hostingcontroller.com/KB/a146/unable-to-create-dynamic-crm-site-in-hc.aspx

moon

I have installed HC8 build9 on the dynamic Crm machine when try to create crm site from panel, the status showing pending and after almost 5 minutes the process became fail.
In the event viewer the error related to the .net exception but not giving the exact idea which causing this problem.
Note: I am able to create crm site directly in the dynamic crm but not from panel.

Can you please verify under which credentials Dynamic CRm Sync and CrmAppPool is running ?