Summary
The applicant, a 55-year-old defense contractor, faced allegations under Guideline F for financial irresponsibility due to approximately $60,000 in delinquent debts. He attributed his financial difficulties to his daughter's medical needs and a significant salary reduction. The judge found that the applicant had mitigated the financial concerns through responsible actions and granted him security clearance eligibility.
Under Guideline F (Financial Considerations), the Statement of Reasons alleged the following: A delinquent debt owed to the Navy Federal Credit Union was charged off in the approximate amount of $20,387 (1.a). A delinquent debt owed to the Navy Federal Credit Union was charged off in the approximate amount of $16,657 (1.b). A delinquent credit card account was charged off in the approximate amount of $7,861 (1.c). A delinquent credit card account was charged off in the approximate amount of $6,047 (1.d). A delinquent debt was placed for collection in the approximate amount of $5,942 (1.e). A delinquent medical account was placed for collection in the approximate amount of $126 (1.f). A delinquent medical account was placed for collection in the approximate amount of $110 (1.g). A delinquent medical account was placed for collection in the approximate amount of $82 (1.h). A delinquent debt owed to the Navy Federal Credit Union was charged off in the approximate amount of $3,170 (1.i).
The judge granted the clearance. The government raised disqualifying conditions AG ¶ 19(a), AG ¶ 19(c). The judge applied mitigating conditions AG ¶ 20(a), AG ¶ 20(b), AG ¶ 20(c), AG ¶ 20(d). The decision turned on the following: The applicant demonstrated a good-faith effort to resolve his debts through a debt relief program; Financial difficulties were largely due to circumstances beyond his control, including his daughter's medical issues and a salary reduction; The applicant has made regular payments and has shown that his financial problems are under control.
Why the Applicant Prevailed
- The applicant demonstrated a good-faith effort to resolve his debts through a debt relief program.
- Financial difficulties were largely due to circumstances beyond his control, including his daughter's medical issues and a salary reduction.
- The applicant has made regular payments and has shown that his financial problems are under control.
Conditions Referenced
- AG ¶ 19(a)raisedInability to Satisfy Debts
- AG ¶ 19(c)raisedHistory of Not Meeting Financial Obligations
- AG ¶ 20(a)appliedBehavior Occurred Under Circumstances Unlikely to Recur
- AG ¶ 20(b)appliedConditions Largely Beyond the Person's Control
- AG ¶ 20(c)appliedReceiving Financial Counseling From a Legitimate Source
- AG ¶ 20(d)appliedGood-faith Effort to Repay Overdue Creditors
Key Rule Quoted
“The protection of the national security is the paramount consideration.”
Procedural Posture
- SOR issuedMay 6, 2019
- Answer filedJun 7, 2019
- Hearing held—Decided on the written record.
- Decision dateSep 10, 2019
Cite For
- Mitigation of Financial Concerns Under Guideline F
- Impact of Personal Circumstances on Financial Responsibility
- Good-faith Efforts in Debt Resolution