(a) The department may deny an application for a SPDES permit if the department determines:

1. (1) that the discharge will result in contravention of effluent limitations, water quality standards or guidance values;
2. (2) that the permittee or applicant has been convicted of a crime related to the permitted activity under any Federal or State law; or
3. (3) the permittee or applicant has been determined in an administrative, civil or criminal proceeding to have violated any provision of the ECL, any related order or determination of the commissioner, any regulation of the department, any condition or term of any permit issued by the department, or any similar statute, regulation, order or permit condition of the Federal or other state government, or agency, on one or more occasions and in the opinion of the department, the violation that was the basis for the action posed a significant potential threat to the environment or human health, or is part of a pattern of noncompliance.

(b) In addition to the criteria set forth in Part 621 of this Title for suspension or revocation of a permit, the department may suspend or revoke a SPDES permit if the department determines:

1. (1) the establishment that would be or is the source of the permitted discharge has not operated and is not likely to operate during the term of the permit;
2. (2) that the permittee or applicant has been convicted of a crime related to the permitted activity under any Federal or State law;
3. (3) the permit was issued erroneously or by mistake;
4. (4) the permit was obtained through fraud, deceit, or through the submission of incorrect data; or
5. (5) the permittee was negligent, or practiced fraud or deceit, in the performance of the permitted activities.