CC2530 Timer Interrupt Problem

Hello,

I have been trying to set the Timer3 in the CC2530 using the SmartRF05 board to generate a periodic interrupt in Modulo Mode every time an overflow occurs. However even though I have applied the settings step by step as specified on the User Guide, it never generates the interrupt, in which all I do is toggle an LED (I monitor this signal with an oscilloscope). I am using IAR Workbench 8051. Could you please take a look at the code and tell me what exactly am I missing?

#include "iocc2530.h"
#include "hal_board.h"
#include "hal_led.h"

#define T8BIT_TICK_FREQ_DIV128      7
#define T8BIT_MODE_MODULO           2
#define T3_COUNT_VALUE              0x7F

#ifndef SH
#define SH(n,m)    (n << (m))
#endif

void main(void)
{

    // Initalise board peripherals
    halBoardInit();

    /***************************************************************************
    * Timer 3
    */
   
    // Connect timer3 interrupt function to corresponding interrupt vector
    //Timer3IntConnect(&Timer3AccIsr);
    //HAL_ISR_FUNCTION(T3_ISR,T3_VECTOR)
     
    /*Start Timer*/
    T3CTL |= 0x10;
   
    /*Set Timer Clock Frequency */
    T3CTL &= ~0xE0;
    T3CTL |= SH(T8BIT_TICK_FREQ_DIV128,5);
   
    /* Set Mode */
    T3CTL &= ~0x03; //Start Timer
    T3CTL |= T8BIT_MODE_MODULO; //Set Modulo Mode
   
    /*Enable OverFlow Interrupt Mask*/
    T3CTL |= 0x08;
   
    /*Disable OverFlow Interrupt*/
    T3CTL &= ~0x08;
   
    /* Set Comp Value (If necessary*/
    T3CC0 = T3_COUNT_VALUE;

    /*Enable Timer3 Overflow Interrupt*/
    TIMIF &= ~0x01; // Clear Flag
    IEN1 |= 0x08; // T3IE = 1

    // Enable Global Interrupts
    EA = 1;
   
    // Main loop
    while (1) { }//while
}//Main


HAL_ISR_FUNCTION(T3_ISR,T3_VECTOR)
{
  halLedToggle(1); 
}