Summary
A 48-year-old married U.S. Army veteran was denied a security clearance due to concerns under Guideline F (Financial Considerations) and Guideline B (Foreign Influence). The primary issue was approximately $85,000 in significant delinquent debts, including child support and credit card obligations.
The Statement of Reasons detailed a history of financial and legal issues. In 1994, the applicant was convicted of 'Hot Check/Personal services' and sentenced to five months in prison. In 1999, he was investigated for forgery, false swearing, and larceny of U.S. Mail and Government mail. Between 2002 and 2014, he accumulated about $9,500 in delinquent debt, including two judgments totaling approximately $7,800. In 2014, he filed for Chapter 7 bankruptcy, discharging about $48,000 in debt. A tax warrant was satisfied eight years prior.
However, since the bankruptcy, the applicant incurred approximately $85,000 in new delinquent debt, including a $14,682 medical account, $624 in delinquent credit card accounts, and about $40,000 in automobile-related debts, with deficiencies from two repossessions in 2021 and a delinquent car payment. The delinquent child support is for a child born in 2016 from an extramarital relationship. The judge denied the application, finding the applicant failed to demonstrate financial rehabilitation or payment arrangements, concluding that granting clearance would not align with national security interests.
Why the Applicant Was Denied
- The applicant failed to provide evidence of addressing significant delinquent debts totaling approximately $85,000.
- The applicant admitted to financial issues but did not demonstrate efforts towards financial rehabilitation or payment arrangements.
- The judge determined that the likelihood of continued financial problems was unacceptably high.
Conditions Referenced
- AG ¶ 19(a)appliedInability to Satisfy Debts
- AG ¶ 19(c)appliedHistory of Not Meeting Financial Obligations
- AG ¶ 19(f)appliedFailure to Pay Annual Federal State, or Local Income Tax as Required
Key Rule Quoted
“"No one has a 'right' to a security clearance."”
Procedural Posture
- SOR issuedDec 15, 2021
- Answer filedMar 21, 2022Applicant requested a decision without a hearing.
- Hearing held—Case assigned to judge on 2022-09-21.
- Decision dateJun 1, 2023
Cite For
- Denial of Security Clearance Due to Significant Financial Issues Under Guideline F
- Failure to Demonstrate Financial Rehabilitation as a Basis for Denial
- Application of the Whole-person Concept in Evaluating Security Clearance Suitability