Summary
A 39-year-old federal contractor was denied a security clearance under Guideline F, Financial Considerations, due to significant unresolved financial issues. The Statement of Reasons cited 17 delinquent debts totaling approximately $123,000, including state tax liens of $3,611 and a child support debt of $7,075. The applicant failed to provide documentation demonstrating efforts to address these debts through payment, dispute, or contact with creditors.
Disqualifying conditions under Guideline F were raised, specifically concerning a history of not meeting financial obligations, an inability or unwillingness to satisfy debts, and a pattern of financial irresponsibility. While several mitigating conditions were considered, such as the debts not being recent or the result of conditions largely beyond the applicant's control, these were ultimately not applied.
The denial was based on the persistence of the 17 delinquent debts totaling approximately $123,000, the lack of documentation showing efforts to resolve them or engage in financial counseling, and the recent nature of the financial problems, which did not demonstrate a track record of financial stability. The judge concluded that the applicant did not mitigate the security concerns.
Why the Applicant Was Denied
- The applicant had 17 delinquent debts totaling approximately $123,000, which remained unresolved.
- The applicant failed to provide documentation showing efforts to address his debts or financial counseling.
- The applicant's financial problems were recent and did not demonstrate a track record of financial stability.
Conditions Referenced
- AG ¶ 19(a)raisedInability to Satisfy Debts
- AG ¶ 19(c)raisedA History of Not Meeting Financial Obligations
- AG ¶ 19(f)raisedFailure to File or Fraudulently Filing Annual Federal, State, or Local Income Tax Returns
- AG ¶ 20(a)rejectedBehavior Happened so Long Ago, Was so Infrequent, or Occurred Under Such Circumstances That It Is Unlikely to RecurThe applicant's debts are recent and remain unresolved.
- AG ¶ 20(b)rejectedConditions That Resulted in the Financial Problem Were Largely Beyond the Person's ControlThe applicant did not provide sufficient evidence that his financial problems were beyond his control.
- AG ¶ 20(c)rejectedReceived or Is Receiving Financial CounselingThere is no evidence of financial counseling.
- AG ¶ 20(d)rejectedInitiated and Is Adhering to a Good-faith Effort to Repay Overdue CreditorsThe applicant failed to provide documentation showing efforts to pay or settle any of the remaining debts.
- AG ¶ 20(g)appliedMade Arrangements with the Appropriate Tax AuthorityThe applicant resolved his state tax debt through garnishment.
Key Rule Quoted
“Eligibility for access to classified information is denied.”
Procedural Posture
- SOR issuedJul 3, 2018
- Answer filedSep 20, 2018Applicant elected to have the case decided on the written record.
- Hearing held—Decision made based on written record.
- Decision dateFeb 28, 2019
Cite For
- Denial of Security Clearance Due to Unresolved Financial Issues Under Guideline F
- Insufficient Documentation to Mitigate Financial Concerns
- Recent Financial Problems Impacting Security Clearance Eligibility