No special permit shall be issued to a person who has been convicted of a felony or a violation of a state or federal statute prohibiting the unlawful possession, sale or distribution of narcotic drugs or prescription drugs. Further, no special permit shall be issued to any entity in which an owner, shareholder, member, officer, manager or employee has been convicted of a felony or violation of a state or federal statute prohibiting the unlawful possession, sale or distribution of narcotic drugs or prescription drugs.