Summary
A 33-year-old defense contractor employee was denied a security clearance under Guideline F (Financial Considerations) due to unresolved financial issues. The Statement of Reasons cited a child support arrearage of $19,201 for his son and unpaid state taxes of $200 for the 2016 tax year. Additionally, the applicant filed a Voluntary Petition of Bankruptcy under Chapter 7 on March 12, 2019, with liabilities discharged on June 17, 2019.
The denial was based on the applicant's failure to resolve significant child support arrears, which totaled over $29,000, and the $200 in unpaid state taxes. The applicant also had 11 delinquent accounts amounting to approximately $118,977, with no evidence of a plan to address these debts.
The administrative judge found that the applicant did not demonstrate a consistent effort to address his financial obligations. His inconsistent explanations and lack of supporting documentation further undermined his credibility, leading to the conclusion that granting clearance was not consistent with national interest.
Why the applicant was denied
- The applicant failed to resolve significant child support arrears totaling over $29,000 and unpaid state taxes of $200.
- The applicant's financial issues included 11 delinquent accounts totaling approximately $118,977, with no evidence of a plan to address them.
- The applicant's inconsistent explanations and lack of documentation to support his claims undermined his credibility.
Conditions referenced
- AG ¶ 19(a)raisedInability to Satisfy Debts
- AG ¶ 19(b)raisedUnwillingness to Satisfy Debts Regardless of the Ability to Do So
- 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 or Failure to Pay Federal, State, or Local Income Tax as Required
- AG ¶ 20(b)appliedConditions That Resulted in the Financial Problem Were Largely Beyond the Person's Control
- AG ¶ 20(c)rejectedThe Individual Has Received or Is Receiving Financial Counseling for the Problem From a Legitimate and Credible SourceThe applicant provided no evidence of ongoing financial counseling beyond the bankruptcy.
Key rule quoted
“"Eligibility for access to classified information is denied."”
Procedural posture
- SOR issuedApr 8, 2020
- Answer filedApr 23, 2020
- Hearing heldMar 29, 2021via DCS Video Teleconference
- Decision dateMay 12, 2021
Cite for
- Denial of Security Clearance Due to Unresolved Financial Obligations Under Guideline F
- Failure to Demonstrate a Good-faith Effort to Resolve Debts
- Impact of Financial Issues on Reliability and Trustworthiness Assessments