Summary
A 57-year-old defense contractor and former U.S. Air Force master sergeant was denied a security clearance due to financial considerations under Guideline F. The applicant failed to file federal and state income tax returns for tax years 2018, 2019, 2020, and 2021. Additionally, the applicant had a delinquent auto loan that was charged off for $5,151.
The administrative judge found that the applicant did not mitigate these financial concerns. The applicant admitted to the tax filing failures and claimed the auto loan was paid, but provided no documentation to substantiate this claim.
Ultimately, the judge concluded that the applicant's financial issues were recent and did not occur under circumstances that would make recurrence unlikely, leading to the denial of the security clearance.
Why the Applicant Was Denied
- The applicant admitted to failing to file federal and state income tax returns for tax years 2018, 2019, 2020, and 2021.
- The applicant had a delinquent auto loan charged off for $5,151, which he claimed was paid but provided no documentation to support this.
- The applicant's financial issues were recent and did not occur under circumstances making recurrence unlikely.
Conditions Referenced
- AG ¶ 19(a)appliedInability to Satisfy Debts
- AG ¶ 19(c)appliedA History of Not Meeting Financial Obligations
- AG ¶ 19(f)appliedFailure 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(d)rejectedThe Individual Initiated and Is Adhering to a Good-faith Effort to Repay Overdue Creditors or Otherwise Resolve Debts
- 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 issuedNov 18, 2022
- Answer filedJan 4, 2023
- Hearing held—Applicant represented himself (pro se) and did not provide additional evidence.
- Decision dateMay 18, 2023
Cite For
- Failure to File Tax Returns as a Disqualifying Condition Under Guideline F
- Recent Financial Irresponsibility Impacting Security Clearance Eligibility
- Lack of Documentation to Support Claims of Financial Resolution as a Factor in Denial of Clearance