(2) If the application is denied, the director shall indorse on the application with the date the word "Disapproved" and shall immediately advise the applicant by registered mail or by certified mail with return receipt of the reason for the denial. [Amended by 1971 c.218 §3; 1977 c.135 §56; 1991 c.249 §69; 2007 c.360 §4]