Summary
The applicant, a 38-year-old male with a history of financial difficulties, was denied security clearance under Guideline F due to approximately $19,000 in unresolved debts, primarily from student loans and gambling addiction. Despite admitting to most allegations in the Statement of Reasons, he failed to demonstrate any efforts to resolve his debts, leading the judge to conclude that his financial irresponsibility raised significant concerns regarding his reliability and trustworthiness for national security eligibility.
Under Guideline F (Financial Considerations), the Statement of Reasons alleged the following: Retail store credit account charged off in the approximate amount of $4,515. Applicant has made no attempt to pay this debt. This debt is not resolved (1.a). Student loan account in collection in the approximate amount of $4,135. In his Answer, Applicant wrote that he 'forgot to get a forbearance for [this student loan].' He has made no attempt to repay this loan. This debt is not resolved (1.b). Student loan account in collection in the approximate amount of $3,416. In his Answer, Applicant wrote that he 'forgot to get a forbearance for [this student loan].' He has made no attempt to repay this loan. This debt is not resolved (1.c). Student loan account in collection in the approximate amount of $1,909. In his Answer, Applicant wrote that he 'forgot to get a forbearance for [this student loan].' He has made no attempt to repay this loan. This debt is not resolved (1.d). Student loan from the U.S. Department of Veterans Affairs in collection in the approximate amount of $644. He has made no attempt to repay this loan. This debt is not resolved (1.e). Student loan account in collection in the approximate amount of $631. In his Answer, Applicant wrote that he 'forgot to get a forbearance for [this student loan].' He has made no attempt to repay this loan. This debt is not resolved (1.f). Cable TV/Internet account in collection in the approximate amount of $560. Applicant claimed in his Answer that he never had an account with this service provider. In his response to the Government's interrogatories, he claimed he resolved this debt by returning the equipment, but the debt was never removed from his account. He is unable to provide any supporting documentation. This debt appears on Applicant’s credit report, dated February 14, 2020, as unpaid. This is not resolved (1.g). Credit-card account charged off in the approximate amount of $537. Applicant opened this account in 2015 and defaulted in the same year. He has made no attempt to pay this debt. This debt is not resolved (1.h). Account charged off in the approximate amount of $168. Applicant has made no attempt to pay this debt. This debt is not resolved (1.i). Online retail account charged off in the approximate amount of $599. Applicant has made no attempt to pay this debt. This debt is not resolved (1.j). Fitness club account in collection in the approximate amount of $664. Applicant has made no attempt to pay this debt. This debt is not resolved (1.k). Utility account in collection in the approximate amount of $431. Applicant has made no attempt to pay this debt. This debt is not resolved (1.l). Gambling loan account charged off in the approximate amount of $412. Applicant claims that this debt was involuntarily paid by the garnishment of his wages. He has submitted no evidence of payment. The account appears on the credit report dated February 14, 2020. This debt is not resolved (1.m).
The judge denied the clearance. The government raised disqualifying conditions AG ¶ 19(a), AG ¶ 19(c). The decision turned on the following: The applicant has approximately $19,000 in unresolved debts, primarily from student loans and gambling addiction; He admitted to 11 of the 13 allegations in the Statement of Reasons but did not provide evidence of efforts to resolve these debts; The judge found that the applicant's financial irresponsibility raised significant concerns about his reliability and trustworthiness.
Why the Applicant Was Denied
- The applicant has approximately $19,000 in unresolved debts, primarily from student loans and gambling addiction.
- He admitted to 11 of the 13 allegations in the Statement of Reasons but did not provide evidence of efforts to resolve these debts.
- The judge found that the applicant's financial irresponsibility raised significant concerns about his reliability and trustworthiness.
Conditions Referenced
- AG ¶ 19(a)raisedInability to Satisfy Debts
- AG ¶ 19(c)raisedHistory of Not Meeting Financial Obligations
Key Rule Quoted
“Failure to live within one’s means, satisfy debts, and meet financial obligations may indicate poor self-control, lack of judgment, or unwillingness to abide by rules and regulations, all of which can raise questions about an individual’s reliability, trustworthiness, and ability to protect classified or sensitive information.”
Procedural Posture
- SOR issuedOct 30, 2021
- Answer filedFeb 22, 2022Applicant requested decision on written record.
- Hearing held—
- Decision dateAug 4, 2022
Cite For
- Financial Irresponsibility as a Disqualifying Factor Under Guideline F
- Failure to Provide Evidence of Debt Resolution Efforts
- Impact of Gambling Addiction on Financial Stability and Security Clearance Eligibility