CASE · Clearance Adjudication Search EngineCASE

Loading case…

ISCR Case 19-02816 — CASE

Case record

ISCR Case 19-02816

A decided public DOHA case, shown for research — not advice or a prediction.

Case Profile
Decision Date11/2/2020
Statusdenied
LevelHEARING
TypeSTANDARD ISCR
Related decisionSee the appeal decision (Case 19-02816.a1) →
Participants
Applicant Representation: Pro Se
Judge: Noreen A. Lynch
Government Counsel: Gatha L. Manns
Case Summary
The applicant in this case was a 51-year-old individual who had held a security clearance for approximately eight years. The Department of Defense issued a Statement of Reasons (SOR) citing security concerns under Guideline F (Financial Considerations), alleging that the applicant failed to file federal and state income tax returns for multiple years, had significant child support arrears, and faced judgments related to delinquent loans and fees. The applicant admitted to these allegations and attributed his financial difficulties to personal challenges, including a traumatic divorce and extended periods of unemployment.
During the hearing, the applicant acknowledged his debts and explained that his failure to file tax returns was due to his emotional distress following his divorce. He claimed to have made efforts to resolve his tax issues and had recently hired a tax advisor. However, he did not provide sufficient evidence of financial counseling or a clear plan to address his outstanding debts. The administrative judge found that the applicant's financial issues were longstanding and unresolved, and his recent actions were insufficient to mitigate the security concerns raised in the SOR.
Ultimately, the administrative judge ruled against the applicant, concluding that he failed to meet his burden of proof to mitigate the financial concerns. The judge emphasized that the applicant's judgment and reliability were in question due to his prolonged financial irresponsibility and lack of proactive measures to resolve his debts, leading to the denial of his security clearance.
Guidelines Evaluated
- Guideline FFinancial Considerations · Against Applicant
Similar decisions
Other decisions whose allegations read most like this one. Descriptive similarity of the allegations only — not a prediction.
Finding similar decisions…

Case Headnote

ISCR Case No. 19-02816

deniedNov 2, 2020· Hon. Noreen A. Lynch· hearing

Summary

A 51-year-old divorced male applicant was denied a security clearance under Guideline F (Financial Considerations) due to significant and unresolved financial issues. The Statement of Reasons detailed several allegations, including a failure to timely file Federal and state income tax returns for tax years 2011 through 2018.

Further financial concerns included a child support arrearage account in collection for $12,295, a charged-off delinquent loan of approximately $12,019 that resulted in a 2015 judgment, and a 2013 judgment for $5,689 related to a condominium association fee. These issues raised disqualifying conditions under Adjudicative Guidelines ¶ 19(a), ¶ 19(c), and ¶ 19(f).

The administrative judge determined that the applicant's financial problems remained unresolved. Specifically, the applicant had not filed the outstanding tax returns, still had the child support arrearage and other unresolved debts, and failed to provide evidence of financial counseling or a good-faith effort to resolve these obligations. Consequently, granting clearance was deemed inconsistent with national interest, leading to the denial.

Why the Applicant Was Denied

The applicant failed to file Federal and state income tax returns for tax years 2011 through 2018.
The applicant has a child support arrearage of $12,295 and other unresolved debts.
The applicant did not provide evidence of financial counseling or a good-faith effort to resolve debts.

Conditions Referenced

Disqualifying

AG ¶ 19(a)appliedInability to Satisfy Debts
AG ¶ 19(c)appliedA History of Not Meeting Financial Obligations
AG ¶ 19(f)appliedFailure to File or Fraudulently Filing Annual Federal, State or Local Income Tax Returns or Failure to Pay Annual Federal, State or Local Income Tax as Required

Key Rule Quoted

“Any doubt concerning personnel being considered for national security eligibility will be resolved in favor of the national security.”

Procedural Posture

SOR issuedNov 1, 2019
Answer filed—
Hearing heldSep 29, 2020Applicant testified pro se.
Decision dateNov 2, 2020

Cite For

Denial of Security Clearance Due to Unresolved Financial Issues Under Guideline F
Failure to Demonstrate Good-faith Efforts to Resolve Debts
Impact of Financial Irresponsibility on National Security Eligibility

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

Standardized Decision Profile

SEAD-4 Guideline F · descriptive summary of a decided case

Posture: HearingDecided: denied

The judge found multiple financial concerns against the applicant, including failure to file tax returns, child support arrears, and judgments related to delinquent loans and condominium fees. Despite the applicant's claims of progress and attempts to resolve these issues, the judge determined that the applicant did not sufficiently mitigate the financial concerns, resulting in a denial of the security clearance.

¶	Allegation	Finding	Type	Response	Disqualifying (¶19)	Mitigating applied (¶20)	Mitigation
1.a	failed to timely file his Federal and state income tax returns for tax years 2011 through 2018	Against Applicant	Tax Filing Failure	Admitted	(a) inability to satisfy debts (c) a history of not meeting financial obligations (f) failure to file / fraudulent filing of tax returns or unpaid tax	—	—
1.b	has a child-support arrearage account in collection for $12,295 $12,295	Against Applicant	Child Support Debt	Admitted	(a) inability to satisfy debts (c) a history of not meeting financial obligations	—	—
1.c	a charged-off delinquent loan in the approximate amount of $12,019 which resulted in a 2015 judgment $12,019	Against Applicant	Judgment Against Applicant	Admitted	(a) inability to satisfy debts (c) a history of not meeting financial obligations	—	—
1.d	a 2013 judgment in the amount of $5,689 for a condominium association fee $5,689	Against Applicant	Judgment Against Applicant	Admitted	(a) inability to satisfy debts (c) a history of not meeting financial obligations	—	—

Descriptive standardized rendering of a decided public case (Guideline F). The verbatim source decision is shown in full below.

Full decision

The complete, official text — footnotes and signatures included — is in the original PDF.