ISCR Case 07-01077

Case Headnote

ISCR Case No. 07-01077

grantedSep 26, 2008· Hon. Arthur E. Marshall, Jr.· hearing

Summary

A 50-year-old senior financial assistant, with a history of criminal conduct, was granted a security clearance after a review addressing concerns under Guideline E (Personal Conduct), Guideline F (Financial Considerations), and Guideline J (Criminal Conduct). The applicant admitted to past criminal conduct, specifically charges and convictions for Filing a False Claim and Theft of Government Property, stemming from inflating lease balances and submitting higher-than-actual housing reimbursement receipts to the Government.

Regarding financial considerations, the applicant faced allegations of an unpaid cable bill from 2004, which was subsequently paid. In March 2005, a delinquent credit card balance of $7,350.00 was also paid in full. Additionally, between February and June 2007, the applicant and her husband became delinquent on their mortgage due to the husband's on-the-job injury, but this account was brought up to date by October 2007. The applicant did not provide an answer regarding personal conduct allegations.

The judge ultimately granted the clearance, citing the applicant's significant rehabilitation efforts over the past eight years, including community service and financial counseling. The applicant made full restitution for past debts, maintained a solid employment record since her convictions, and demonstrated that her past criminal conduct was unlikely to recur, thus not casting doubt on her current reliability or trustworthiness.

Why the Applicant Prevailed

The applicant demonstrated significant rehabilitation efforts over the past eight years, including community service and financial counseling.
The applicant made full restitution for past debts and maintained a solid employment record since her convictions.
The judge found that the applicant's past criminal conduct was unlikely to recur and did not cast doubt on her current reliability or trustworthiness.

Conditions Referenced

Disqualifying

AG ¶ 31(a)raisedCriminal Conduct - A Single Serious Crime or Multiple Lesser Offenses
AG ¶ 19(c)raisedFinancial Considerations - A History of Not Meeting Financial Obligations
AG ¶ 19(a)raisedFinancial Considerations - Inability or Unwillingness to Satisfy Debts

Mitigating

AG ¶ 32(a)appliedCriminal Conduct - so Much Time Has Elapsed Since the Criminal Behavior Happened, or It Happened Under Such Unusual Circumstances That It Is Unlikely to Recur and Does Not Cast Doubt on the Individual’s Reliability, Trustworthiness, or Good Judgment
AG ¶ 32(d)appliedCriminal Conduct - Evidence of Successful Rehabilitation, Including but Not Limited to the Passage of Time Without Recurrence of Criminal Activity, Remorse or Restitution, Job Training or Higher Education, Good Employment Record, or Constructive Community Involvement
AG ¶ 20(b)appliedFinancial Considerations - the Conditions That Resulted in the Behavior Were Largely Beyond the Person’s Control and the Individual Acted Responsibly Under the Circumstances
AG ¶ 20(a)appliedFinancial Considerations - the Behavior Happened so Long Ago, Was so Infrequent, or Occurred Under Such Circumstances That It Is Unlikely to Recur and Does Not Cast Doubt on the Individual’s Current Reliability, Trustworthiness, or Good Judgment
AG ¶ 20(d)appliedFinancial Considerations - the Individual Initiated a Good-faith Effort to Repay Overdue Creditors or Otherwise Resolve Debts
AG ¶ 20(c)appliedFinancial Considerations - the Person Has Received or Is Receiving Counseling for the Problem And/or There Are Clear Indications That the Problem Is Being Resolved or Is Under Control
AG ¶ 17(c)appliedPersonal Conduct - the Offense Is so Minor, or so Much Time Has Passed, or the Behavior Is so Infrequent, or It Happened Under Such Unique Circumstances That It Is Unlikely to Recur and Does Not Cast Doubt on the Individual’s Reliability, Trustworthiness, or Good Judgment
AG ¶ 17(e)appliedPersonal Conduct - the Individual Has Taken Positive Steps to Reduce or Eliminate Vulnerability to Exploitation, Manipulation, or Duress

Key Rule Quoted

“The protection of the national security is the paramount consideration.”

Procedural Posture

SOR issuedFeb 23, 2008
Answer filedMay 22, 2008
Hearing heldJul 10, 2008Rescheduled due to scheduling conflict.
Decision dateSep 26, 2008

Cite For

Successful Rehabilitation After Criminal Conduct Under Guideline J
Mitigating Financial Considerations Due to Circumstances Beyond the Applicant's Control
Community Service as a Factor in Granting Security Clearance

Editorial summary generated for research. Not legal advice; not a prediction. Verify against the full decision before relying on any quoted language.

¶	Allegation	Finding	Conduct	Concealed Issue	Response	Disqualifying (¶16)	Mitigating applied (¶17)	Mitigation
3.a	Applicant did not provide an answer regarding personal conduct.	For Applicant	Unspecified Personal Conduct	—	Unknown	—	—	—

Allegation

Finding

Conduct

Concealed Issue

Response

Disqualifying (¶16)

Mitigating applied (¶17)

Mitigation

3.a

Applicant did not provide an answer regarding personal conduct.

For Applicant

Unspecified Personal Conduct

—

Unknown

—

¶	Allegation	Finding	Type	Response	Disqualifying (¶19)	Mitigating applied (¶20)	Mitigation
2.a	During Applicant’s incarceration, a $126.00 bill from her cable company went unpaid. The account became delinquent, but was ultimately discovered and paid off by Applicant in 2004. $126	For Applicant	Utility or Phone Debt	Admitted	—	—	—
2.b	The following year, in March 2005, Applicant similarly paid off the full balance owed on a delinquent credit card with a balance of $7,350.00. $7,350	For Applicant	Credit Card Debt	Admitted	—	—	—
2.c	Between February and June of 2007, Applicant’s husband was out of work due to an on-the-job injury. As a consequence, they became delinquent on their mortgage. The account was brought up to date in October 2007.	For Applicant	Mortgage or Home Loan Debt	Admitted	—	—	—

Allegation

Finding

Type

Response

Disqualifying (¶19)

Mitigating applied (¶20)

Mitigation

2.a

During Applicant’s incarceration, a $126.00 bill from her cable company went unpaid. The account became delinquent, but was ultimately discovered and paid off by Applicant in 2004.

$126

For Applicant

Utility or Phone Debt

Admitted

—

2.b

The following year, in March 2005, Applicant similarly paid off the full balance owed on a delinquent credit card with a balance of $7,350.00.

$7,350

For Applicant

Credit Card Debt

Admitted

—

2.c

Between February and June of 2007, Applicant’s husband was out of work due to an on-the-job injury. As a consequence, they became delinquent on their mortgage. The account was brought up to date in October 2007.

For Applicant

Mortgage or Home Loan Debt

Admitted

—

¶	Allegation	Finding	Offense	Criminal disposition	Response	Disqualifying (¶31)	Mitigating applied (¶32)	Mitigation
1.a	Applicant admitted the allegations regarding criminal conduct.	For Applicant	Theft or Larceny	Convicted	Admitted	(a) pattern of minor offenses casting doubt on judgment/reliability (c) currently on parole or probation	(a) so much time has passed, or unusual circumstances, that it is unlikely to recur (d) evidence of successful rehabilitation (time, restitution, employment, etc.)	Documented No Subsequent Offenses Credited Rehabilitation Evidence
1.b	In submitting her reimbursements to the Government for the balance owed on her lease, she inflated the balance she said she owed her apartment complex. Additionally, the receipts offered the Government for housing reimbursement in her new state of residence were higher than the actual costs she expended. As a result, Applicant was charged and convicted of Filing a False Claim and Theft of Government Property.	For Applicant	Fraud or Deception Criminal	Convicted	Admitted	(a) pattern of minor offenses casting doubt on judgment/reliability (c) currently on parole or probation	(a) so much time has passed, or unusual circumstances, that it is unlikely to recur (d) evidence of successful rehabilitation (time, restitution, employment, etc.)	Documented No Subsequent Offenses Credited Rehabilitation Evidence
1.c–1.d	2 sub-charges — specific text not stated in this decision (for the applicant). (low confidence)	For Applicant		—		—	—	—

Allegation

Finding

Offense

Criminal disposition

Response

Disqualifying (¶31)

Mitigating applied (¶32)

Mitigation

1.a

Applicant admitted the allegations regarding criminal conduct.

For Applicant

Theft or Larceny

Convicted

Admitted

(a) pattern of minor offenses casting doubt on judgment/reliability

(c) currently on parole or probation

(a) so much time has passed, or unusual circumstances, that it is unlikely to recur

(d) evidence of successful rehabilitation (time, restitution, employment, etc.)

Documented

No Subsequent Offenses

Credited

Rehabilitation Evidence

1.b

In submitting her reimbursements to the Government for the balance owed on her lease, she inflated the balance she said she owed her apartment complex. Additionally, the receipts offered the Government for housing reimbursement in her new state of residence were higher than the actual costs she expended. As a result, Applicant was charged and convicted of Filing a False Claim and Theft of Government Property.

For Applicant

Fraud or Deception Criminal

Convicted

Admitted

(a) pattern of minor offenses casting doubt on judgment/reliability

(c) currently on parole or probation

(a) so much time has passed, or unusual circumstances, that it is unlikely to recur

(d) evidence of successful rehabilitation (time, restitution, employment, etc.)

Documented

No Subsequent Offenses

Credited

Rehabilitation Evidence

1.c–1.d

2 sub-charges — specific text not stated in this decision (for the applicant). (low confidence)

For Applicant

—

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Case Profile

Summary

Why the Applicant Prevailed

Conditions Referenced

Key Rule Quoted

Procedural Posture

Cite For

Full decision

DEFENSE OFFICE OF HEARINGS AND APPEALS

HEARING

APPEARANCES

STATEMENT OF CASE

FINDINGS OF FACT

POLICIES

ANALYSIS

WHOLE PERSON CONCEPT

FORMAL FINDINGS

CONCLUSION