Haw. Code R. § 18-245-2-3 - Good cause to suspend, revoke, or decline to renew a wholesaler or dealer license

(a) In addition to any other acts or conditions provided by law, the department may suspend or, after hearing, revoke or decline to renew any license, whenever the department finds that the applicant or licensee has failed to comply with chapter 245 or any rule adopted under chapter 245, or for any other good cause. Good cause includes instances where an applicant or licensee has:

(1) Submitted a false or fraudulent application or intentionally provided a false statement in an application;

(2) Possessed or displayed a false or fraudulent license or retail tobacco permit;

(3) Failed to meet or maintain the conditions and requirements necessary to qualify for the granting of a license or retail tobacco permit;

(4) Procured a wholesaler or dealer license or retail tobacco permit through fraud, misrepresentation, or deceit;

(5) Aided and abetted a person or entity that does not possess a license or retail tobacco permit to directly or indirectly perform activities requiring a license or retail tobacco permit;

(6) Instances of noncompliance, violation, or conviction of any law directly pertaining to the sale, importation, acquisition, possession, stamping, distribution, transportation, or smuggling of cigarettes, counterfeit cigarettes, counterfeit tax stamps, or other tobacco products in violation of county, state, or federal law;

(7) Intentionally failed to make accessible for inspection any records of the licensee or permittee for the purpose of determining compliance with chapter 245 to any representative of the department or the attorney general; or

(8) Failed to comply with applicable tax obligations.

(b) In assessing whether good cause exists when considering a revocation, suspension, or declination to renew a license based upon a person's or entity's employee's violation(s) of § 709-908, HRS, the department may consider whether the sale of the tobacco product to the minor was an isolated incident, and if not, the extent to which the person or entity acted in reckless disregard of the risk that tobacco products would be sold to minors.

(c) In determining good cause the department may consider:

(1) The nature, circumstances, extent, and gravity of the violation;

(2) With respect to the licensee, the degree of culpability and any history of prior compliance or prior violations of tobacco enforcement or tax laws; and

(3) Such other matters as justice may require or as the department deems relevant.

(d) Revocation, suspension, or declination to renew a license shall have no effect on liability for payment of taxes, fees, penalties, or interest incurred or imposed.

Notes

Haw. Code R. § 18-245-2-3

[Eff 04/26/2007] (Auth: HRS § 245-2) (Imp: HRS § 245-13)