I torque my oil filter cap to 18 ft lbs. When I go to change my oil and remove the oil filter element the oil filter is never compressed and crushed.
OP's filter was compressed and crushed.
You say over torque-ing the oil filter cap doesn't compress and crush the oil filter element. If that is the case, explain how did his oil filter get compressed and crushed?
Let's identify what element inside the oil filter housing is making the screeching noise. It has to be the black plastic cage that fits inside the oil filter.
In regards to the black plastic cage insert inside the center of the oil filter, that device is assembled at the factory. When I change my oil its never come out on me.
If that part is loose, broken, clips worn or malfunctioning, assembled incorrectly, what we just learned is that black, plastic cage is going to make a screeching noise. What else could the noise be?