Well, if you closely follow all the posts you will know that before the OP sought help on forum, he and his wife had already submitted an explanation letter to CIC to explain the situation,upon received the procedural fairness letter. Then after we all tried to hammer on him, in order to let him aware the seriousness of the situation, he consulted his lawyer and his lawyer said it is all good, no misrepresentation was found, based on the citation listed on the procedural fairness letter. Then we hammered him even harder that made him really worried, he finally decided to sought help from another lawyer, and meanwhile, his wife received a message from CIC to inform her that she passed the eligibility and his wife was asked to send the passport over.
It didn't happen just in couple days, actually it had been couple weeks, since he sent additional evidences to CIC to address the issue. So, we believed that CIC accepted his explanation and cleared him for both cases. And unless the process is different for inland application, we also believe that by asking his wife to send the passport over, it should be a PPR, and thus, his wife's PR application is approved.