Thank you all for your valuable feedbacks.
So I have tried:
1- Resending the NZ Consent form(downloaded from CIC website) to CIC Buffalo office, along with a cover letter explaining that THEY HAVE TO submit it themselves in order to obtain my wife's clearance certificate(as per the guidelines on the form). It's been almost 1.5 months since I sent them this form and obviously no word from them yet.
2- Contacted CIC sydney office, since the police certificate will be obtained via them. Sent them an email asking the status of the request, even though I knew they wouldn't disclose any info to the applicant directly, but still I tried and requested them to send the NZ certificate to CIC buffalo in case they have already received it. They replied back saying I should be contacting the Buffalo office if I have any questions. So no help there either.
3- I obtained a NZ ministry of justice certificate for my wife stating she has no criminal records and sent this to Buffalo office as well almost a month ago. Spoke to NZ Embassy and their police department, this is the only certificate they can provide. Although I know it's clearly mentioned on CIC website that they won't accept it, but given the circumstances I am in, I gave it a shot.
4- sent another letter and email to CIC buffalo office 2 weeks ago, asking if they need anything else from us, as THAT IS ALL WE COULD HAVE POSSIBLY DONE. guess what, no replies to email/letter yet.
Now after all that we have tried and still no word from them, I am sure they are going to send me another letter next week saying they are denying our application because we couldn't provide the police certificate. The deadline they provided in their last letter ends on March 19th. This is going beyond the limits of frustration, I am really not sure what the hell did I ever miss. So now that I am just waiting for their denial letter, I want to prepare myself to take some legal action against the Visa Officer assigned to my case.
Can somebody tell me how can I compliant against the VO? because clearly he/she doesn't know their own rules and guidelines written on their website. And on top of that, they don't even care to read all the highlighted cover letters/email I send to them with each corresponce, forget about replying back. Just because of their carelessness and uneducation about their own system, my family and I are going through this unnecessary stress.
Any help would be appreciated.
Hi Tevaths,
I am in same situation as yours. I already sent them a Consent form (as instructed on their website) about 3 months ago. Now 2 days back, i received a letter from New Delhi Visa office asking to provide police clearance. What the hell. So i sent them an e-mail to tell me what else they need ?
I have also applied for the same criminal records from ministry of justice as well. Will u plz tell me how long it took to get ur criminal records after u sent them the necessary docs with e-mail.
Don't know why they a re not satisfied with their own instructions.

its going to delay the application by another 2-3 months i guess.
hoping for best.