The Department of Natural Resources shall refuse issuance of a certificate of title if any required fee is not paid or if he has reasonable grounds to believe that:
     (a) The applicant is not the owner of the watercraft;
     (b) The application contains a false or fraudulent statement; or
     (c) The applicant fails to furnish required information or documents or any additional information the Department of Natural Resources reasonably requires;
     (d) The applicant has not paid any fees or taxes due under this Act and have not been paid upon reasonable notice and demand.