Summary
A 50-year-old U.S. citizen and defense contractor was granted a security clearance despite concerns raised under Guidelines B (Foreign Influence), C (Foreign Preference), and L (Outside Activities). The Statement of Reasons cited his business activities in the UAE, specifically that he was a business partner in a joint venture incorporated and operating in the UAE, held a UAE bank account, and possessed an active UAE driver’s license. Additionally, his business partner was a citizen and resident of the UAE.
Disqualifying conditions under Guideline B, C, and L were initially raised, but the applicant successfully demonstrated that his activities did not pose a security risk. Mitigating conditions were applied, noting that his business activities in the UAE did not involve classified information or sensitive materials.
The Defense Security Service determined that the joint venture was not under foreign ownership, control, or influence. Furthermore, the applicant's ties to the UAE were strictly commercial, with no evidence of close personal relationships that could lead to divided loyalty. Based on these factors, the judge granted his eligibility for access to classified information.
Why the Applicant Prevailed
- The applicant's business activities in the UAE did not involve classified information or sensitive materials.
- The Defense Security Service determined that the joint venture was not under foreign ownership, control, or influence.
- The applicant's ties to the UAE were strictly commercial, with no evidence of close personal relationships that could lead to divided loyalty.
Conditions Referenced
- AG ¶ 7(a)raisedContact with Foreign NationalsThe applicant's business partner is a citizen and resident of the UAE.
- AG ¶ 7(b)raisedPotential Conflict of InterestThe applicant's business interests in the UAE could create a potential conflict of interest.
- AG ¶ 7(f)raisedSubstantial Business Interests in a Foreign CountryThe applicant has substantial business interests in the UAE.
- AG ¶ 38(a)appliedEvaluation of Outside ActivitiesThe applicant's involvement with the UAE does not involve classified information.
- AG ¶ 8(b)appliedMinimal Conflict of InterestThe applicant's ties to the UAE are strictly commercial and he has strong ties to the U.S.
- AG ¶ 8(f)appliedRoutine Nature of Foreign Business InterestsThe applicant's last contract with the UAE was substantial, but he has no current contracts.
Key Rule Quoted
“Eligibility for a security clearance is predicated upon the applicant meeting the criteria contained in the adjudicative guidelines.”
Procedural Posture
- SOR issuedAug 15, 2018
- Answer filedSep 18, 2018
- Hearing heldApr 5, 2019
- Decision dateApr 5, 2019
Cite For
- Mitigation of Foreign Influence Under Guideline B
- Evaluation of Outside Activities Under Guideline L
- Consideration of Commercial Ties in Security Clearance Decisions Under Guideline C