Summary
The applicant, a 57-year-old IT technician with a history of military service, faced security concerns under Guidelines F (Financial Considerations) and E (Personal Conduct) due to multiple financial issues, including delinquent debts and failure to file tax returns. Although the judge found no intentional falsification of the security clearance application, the applicant's financial irresponsibility raised significant security concerns, leading to the denial of her clearance.
Under Guideline E (Personal Conduct) and Guideline F (Financial Considerations), the Statement of Reasons alleged the following: Applicant falsified her SCA by answering 'No' to a question whether she had a judgment entered against her in the previous seven years and failing to disclose the judgment alleged in SOR 1.e (2.a). medical bills placed for collection of $2,495 (1.a). medical bills placed for collection of $202 (1.b). cable-service bill placed for collection of $71 (1.c). collection account for $10 (1.d). judgment for medical debt filed in 2015 for $289 (1.e). debt for time-share property charged off for $15,811 (1.f). medical bills placed for collection of $268 (1.g). utility bill placed for collection of $204 (1.h). cable bill placed for collection of $140 (1.j). medical bills placed for collection of $28 (1.k). failure to timely file federal income tax returns for 2014, 2015, and 2016 (1.l). failure to file state income tax returns for 2014, 2015, 2016 (1.m). tax debt totaling $7,000 for federal and state income taxes for 2014, 2015, and 2016 (1.n).
The judge denied the clearance. The government raised disqualifying conditions AG ¶ 19(a), AG ¶ 19(b), AG ¶ 19(c), AG ¶ 19(f). The judge applied mitigating conditions AG ¶ 20(a), AG ¶ 20(b), AG ¶ 20(c), AG ¶ 20(d), AG ¶ 20(e), AG ¶ 20(g). The decision turned on the following: The applicant admitted to multiple delinquent debts totaling approximately $19,720 and tax debts of about $7,000; The applicant failed to timely file federal and state tax returns for multiple years, raising concerns about her financial responsibility; The applicant did not seek financial counseling or take significant action to resolve her debts.
Why the Applicant Was Denied
- The applicant admitted to multiple delinquent debts totaling approximately $19,720 and tax debts of about $7,000.
- The applicant failed to timely file federal and state tax returns for multiple years, raising concerns about her financial responsibility.
- The applicant did not seek financial counseling or take significant action to resolve her debts.
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 Annual Federal, State, or Local Income Tax as Required
- AG ¶ 20(a)rejectedThe Behavior Happened so Long Ago, Was so Infrequent, or Occurred Under Such Circumstances That It Is Unlikely to Recur and Does Not Cast Doubt on the Individual's Current Reliability, Trustworthiness, or Good Judgment
- AG ¶ 20(b)rejectedThe Conditions 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 Source
- AG ¶ 20(d)appliedThe Individual Initiated and Is Adhering to a Good-faith Effort to Repay Overdue Creditors or Otherwise Resolve Debts
- AG ¶ 20(e)appliedThe Individual Has a Reasonable Basis to Dispute the Legitimacy of the Past-due Debt Which Is the Cause of the Problem
- AG ¶ 20(g)rejectedThe Individual Has Made Arrangements with the Appropriate Tax Authority to File or Pay the Amount Owed and Is in Compliance with Those Arrangements
Key Rule Quoted
“Eligibility for a security clearance is predicated upon the applicant meeting the criteria contained in the adjudicative guidelines.”
Procedural Posture
- SOR issuedApr 25, 2018
- Answer filedJun 21, 2018
- Hearing heldOct 25, 2018
- Decision dateDec 27, 2018
Cite For
- Denial of Clearance Due to Financial Irresponsibility Under Guideline F
- No Intentional Falsification of Security Clearance Application Under Guideline E
- Consideration of Whole-person Concept in Security Clearance Decisions