In general, an alcohol fuel producer's permit will be issued to any person who completes the required application for permit and who furnishes the required bond (if any). However, the regional director (compliance) may institute proceedings for the denial of the application, if the regional director (compliance) determines that:
(a) The applicant (including, in the case of a corporation, any officer, director, or principal stockholder, and in the case of a partnership, a partner) is, by reason of business experience, financial standing, or trade connections, not likely to maintain operations in compliance with 26 U.S.C. Chapter 51, or regulations issued thereunder; or
(b) The applicant has failed to disclose any material information required, or has made any false statement, as to any material fact, in connection with the application; or
(c) The premises on which the applicant proposes to conduct the operations are not adequate to protect the revenue. The procedures applicable to denial of applications are set forth in 27 CFR Part 200.
(Sec. 201, Pub. L. 85-859, 72 Stat. 1370, as amended (26 U.S.C. 5271); Sec. 232, Pub. L. 96-223, 94 Stat. 278 (26 U.S.C. 5181))
This was last updated on September 17, 1999