A DIRECTOR of a locally listed company resigned yesterday after it was revealed he had concealed a criminal record. This was the second case in seven months of a director breaking rules by failing to disclose convictions. The director, who lied under oath, was Lam Kamchuen, 51, vice-chairman and largest shareholder of the Win Win group and an executive council member of the Nanning Committee in Guangxi of the Chinese People's Political Consultative Conference. In 1994, when the textile machinery sales group Win Win was preparing to list on the stock exchange, he swore he had no previous convictions involving fraud or dishonesty. On Tuesday evening, the Hong Kong Stock Exchange received a letter alleging that Mr Lam was convicted of a criminal offence many years ago. Inquiries led to a written confirmation by the company that Mr Lam was convicted in June 1973 of receiving stolen goods in 1971. He had been sentenced by the Supreme Court of Hong Kong to four years' imprisonment and was released in November 1975. Herbert Hui, head of the Stock Exchange's listing division, said: 'We are conducting a thorough investigation, with a view to making an appropriate recommendation.' As the undertaking made by Mr Lam was falsely sworn under oath, it is possible a criminal prosecution may follow. Mr Hui said he would bring the case up to the Attorney-General's office. Win Win's case follows the resignation last year of Yu Pun-hoi as chairman of Ming Pao Enterprise and South Sea Development. He was forced out when it was revealed he had concealed a conviction received in Canada. The requirement to declare relevant facts about the past under oath was only initiated in November 1993. Mr Lam's case will be the first that tests the rule. Win Win is already involved in another controversy involving the stock exchange, following a sudden 26 per cent leap in its share price to $1.09 on Friday amid unusually heavy trading. The average price of the shares traded in the past month was 83.9 cents.