The local licensing authority shall deny the application for or renewal of license if it finds that the applicant:
(1) Has violated any provisions of this chapter or rules and regulations promulgated under this chapter; or
(2) In the case of the applicant, commits any act that would disqualify him or her under § 5-5-10 or where the applicant has failed to meet the qualifications of this chapter;
(3) Practices fraud, deceit, or misrepresentation;
(4) Makes a material misstatement in the application for or renewal of a license; or
(5) Demonstrates incompetence or untrustworthiness in actions affecting the conduct of the business required to be licensed under this chapter.