In any stage of H&C application if you get criminal record (even after pass stage 2 and waiting for PR or even on the PR interview) - your are became criminal inadmissibility in Canada and unfortunately your application in 90% will be rejected!
Suspected inadmissibility – Criminal charges formally laid yet still outstanding
Where criminal charges against the applicant or any family member are outstanding and
a final decision has not yet been made legal, senior officers should delay scheduling an
appointment for confirmation of permanent residence until there is a final disposition of
the criminal charges or rejected application immediately and inform CBSA.
Also the Canadian Security Intelligence Service (CSIS) performs security screening (outside Canada, include person home country, Interpol, FBI, EuroPol and etc) and the Royal Canadian Mounted Police (RCMP) conducts screening for criminal records on behalf of CIC and person could be found inadmissibility too.
Regards,
DHudson.