(a) Any person who knowingly makes a false statement on an application is guilty of a misdemeanor and, upon conviction thereof, shall be fined not more than $1,000 and confined in jail for not more than six months except that in the case of a person other than a natural person, the amount of the fine imposed may not be more than $25,000.
(b) The commission may not grant a license or registration pursuant to the provisions of this article if there is substantial evidence that the applicant:
(1) Has knowingly made a false statement of a material fact to the commission;