Kentucky Code § KRS 438.3069

Basis for license revocation or suspension
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A license may be revoked or suspended by the commissioner for a violation of: (1) Any of the provisions of KRS 438.305 to 438.350; (2) Any administrative regulation of the department relating to the regulation of the manufacture, sale, and transportation o f alternative nicotine products, tobacco products, or vapor products; (3) Any administrative regulation of the Department of Revenue relating to the taxation of alternative nicotine products, tobacco products, or vapor products; (4) Any Act of Congress or any rule or regulation of any federal board, agency, or commission; (5) Any of the laws, regulations, or ordinances referred to in this section when an agent, servant, or employee of the licensee committed the violation, irrespective of whether the license e knew of or permitted the violation or whether the violation was committed in disobedience of the licensee's instructions; (6) Any cause which the department in the exercise of its sound discretion deems sufficient; or (7) Any of the reasons for which the commissioner would have been required to deny a license if existing material facts had been known.

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