Section 22-259. Issuance and refusal to issue registrations and photo identification cards

a. Where the commissioner has reasonable cause  to  believe than an applicant for registration pursuant to section 22-253 of
  this  chapter or an applicant for a photo identification card lacks good
  character, honesty and integrity, the commissioner may require that such
  applicant shall: (i) be fingerprinted by a person  designated  for  such
  purpose by the commissioner or the department of investigation and a fee
  shall  be  paid  which  shall  be  submitted to the division of criminal
  justice services and/or the federal  bureau  of  investigation  for  the
  purposes  of  obtaining  criminal  history  records; (ii) provide to the
  commissioner, upon a form prescribed by the commissioner and subject  to
  such  minimum  dollar  thresholds and other reporting limitations as the
  commissioner may establish by rule therein any of  the  following  items
  that  the  commissioner  determines  are  necessary  and  appropriate to
  evaluate the application of  such  applicant  for  registration  or  the
  application  of  such  person for a photo identification card, including
  but not limited to: (a) a listing of the  names  and  addresses  of  any
  persons  having a beneficial interest in the applicant for registration,
  the amount and nature of such interest and the acquisition cost;  (b)  a
  listing  of the names and addresses of all officers, directors, partners
  and stockholders holding more than ten percent of the outstanding shares
  of the business, and of the names and addresses of any manager or  other
  person  who  has  policy  or  financial decision-making authority in the
  business of an applicant for registration; (c) a listing of the  amounts
  in  which  such  applicant  is  indebted,  including  mortgages  on real
  property, and the names and addresses of all persons to whom such  debts
  are  owed;  (d)  a listing of such applicant's real property holdings or
  mortgage or other interest in real property held by such applicant other
  than a primary residence and the names and addresses of all co-owners of
  such interest; (e) a listing of mortgages,  loans,  and  instruments  of
  indebtedness  held  by  such applicant, the amount of such debt, and the
  names and addresses of all such debtors; (f) the name and address of any
  business in which such applicant  holds  an  equity  or  debt  interest,
  excluding any interest in publicly traded stocks or bonds; (g) the names
  and  addresses  of  all persons or entities from whom such applicant has
  received gifts valued at more than one thousand dollars in  any  of  the
  past three years, and the names of all persons or entities excluding any
  organization  recognized  by  the Internal Revenue Service under section
  501(c)(3) of the Internal Revenue Code to whom such applicant has  given
  such gifts in any of the past three years; (h) a listing of all criminal
  convictions, in any jurisdiction, of the applicant; (i) a listing of all
  pending  civil  or  criminal actions to which such applicant is a party;
  (j) a  listing  of  any  determination  by  a  federal,  state  or  city
  regulatory   agency  of  a  violation  by  such  applicant  of  laws  or
  regulations relating to the conduct of the applicant's business;  (k)  a
  listing  of  any criminal or civil investigation by a federal, state, or
  local prosecutorial agency, investigative agency or regulatory agency of
  which the applicant has or should  have  knowledge,  in  the  five  year
  period  preceding  the application, wherein such applicant has: (A) been
  the subject of such investigation, or (B) received a subpoena  requiring
  the  production  of  documents  or  information  in connection with such
  investigation; (l) where applicable, a certification that the  applicant
  has  paid  all  federal,  state,  and  local income taxes related to the
  applicant's business for which the  applicant  is  responsible  for  the
  three  tax  years preceding the date of the application or documentation
  that the applicant is contesting such taxes in  a  pending  judicial  or
  administrative proceeding; (m) a statement authorizing the department to
  verify  with federal, state and local taxing authorities, to the maximum

  extent permitted by  law,  the  facts  contained  in  the  certification
  submitted  pursuant  to  subparagraph  (l)  of this paragraph; (n) where
  applicable, the names and addresses of the principals of any predecessor
  wholesale  business  or  market  business of the applicant; and (o) such
  additional information concerning good character, honesty and  integrity
  that  the  commissioner  may  deem appropriate and reasonable; and (iii)
  appear to be interviewed by  the  department  of  investigation  or  the
  department.  The  commissioner  may  require  that fees be paid by or on
  behalf of such applicants to cover the expenses  of  fingerprinting  and
  background  investigations  provided  for in this subdivision as are set
  forth in the rules promulgated pursuant to section 22-266 of this  code.
  A  wholesale  business or a market business shall be responsible for the
  payment of any fee imposed by this section with respect to  an  employee
  of  such  business  or  any person seeking to become an employee of such
  business.
    b. The commissioner may, after notice and the opportunity to be heard,
  refuse to register an applicant or issue a photo identification card  to
  a  person  who  lacks good character, honesty and integrity. Such notice
  shall  specify  the  reasons  for   such   refusal.   In   making   such
  determination, the commissioner may consider, but not be limited to: (i)
  failure  by  such applicant or person to provide truthful information in
  connection with the application; (ii) a pending indictment  or  criminal
  action  against  such  applicant  or person for a crime which under this
  subdivision would provide a basis for the refusal of such  registration,
  or  a  pending civil or administrative action to which such applicant or
  person is a party and which directly relates to the fitness  to  conduct
  the  business  or  perform  the work for which the registration or photo
  identification card is sought, in which cases the commissioner may defer
  consideration of an application until a decision has been reached by the
  court or administrative tribunal before which such  action  is  pending;
  (iii)  conviction  of  such applicant or person for a crime which, under
  article 23-A of the correction law, bears a relationship to the  fitness
  of  such  applicant or person to conduct a business or work in a market;
  (iv) commission of a racketeering activity or association with a  person
  who  has  been  convicted for a racketeering activity when the applicant
  knew or should have known of such activity, including, but  not  limited
  to,  an  offense  listed  in subdivision one of section nineteen hundred
  sixty-one of the Racketeer Influenced and Corrupt Organizations  statute
  (18 U.S.C. § 1961 et seq) or for an offense listed in subdivision one of
  section  460.10  of  the penal law, as such statutes may be amended from
  time to time, or the equivalent offense under  the  laws  of  any  other
  jurisdiction;  (v)  association  with  any  member  or  associate  of an
  organized crime group as identified by a  federal,  state  or  city  law
  enforcement  or investigative agency when the applicant for registration
  or photo identification card knew or should have known of the  organized
  crime associations of such person; (vi) a principal of the applicant was
  a principal in a predecessor wholesale business or market business where
  the  commissioner  would  be  authorized  to  deny  registration to such
  predecessor business pursuant to this subdivision; or (vii) in the  case
  of  an  applicant business, failure to pay any tax, fine, penalty or fee
  related to  the  applicant's  business  for  which  liability  has  been
  admitted  by  the person liable therefor, or for which judgment has been
  entered by a court or administrative tribunal of competent  jurisdiction
  and  such  judgment  has not been stayed. An applicant may submit to the
  commissioner any material or explanation which such  applicant  believes
  demonstrates  that  information  submitted  pursuant to this subdivision
  does not reflect adversely upon the applicant's good character,  honesty
  and integrity.

    c.  The  commissioner  may  require  that  an applicant business shall
  submit  such  information  as  the  commissioner  deems   necessary   to
  demonstrate  the  financial  responsibility of such applicant to conduct
  the activity for which such registration is required, and may refuse  to
  register any applicant who has not, in the commissioner's determination,
  demonstrated such financial responsibility.
    d.  The  commissioner  may  refuse  to  register  or  to issue a photo
  identification card to a person when such applicant has knowingly failed
  to  provide  the  information  and/or  documentation  required  by   the
  commissioner  pursuant to this chapter or any rules promulgated pursuant
  thereto or who has otherwise failed to demonstrate eligibility for  such
  registration  or  photo  identification  card  under this chapter or any
  rules promulgated pursuant thereto.
    e. The commissioner may  refuse  to  register  or  to  issue  a  photo
  identification  card to a person when such applicant: (i) was previously
  issued a registration or a photo identification card under this  chapter
  and such registration or card was revoked or not renewed pursuant to the
  provisions  of this chapter or any rules promulgated hereto; or (ii) has
  been determined to have committed any of the acts which would be a basis
  for  the  suspension  or  revocation  of   registration   or   a   photo
  identification  card  pursuant  to this chapter or any rules promulgated
  hereto.
    f. For the purposes of this section: "predecessor  wholesale  business
  or  market  business" shall mean a wholesale business or market business
  in which one or more principals of the applicant were principals in  the
  five  year  period  preceding  the  application;  and,  in  relation  to
  investigations of employees pursuant to section 22-252 of this  chapter,
  the  term "applicant" shall be deemed to apply to employees or agents of
  an applicant for registration.