Summary
A 32-year-old federal contractor and U.S. Army veteran was denied a security clearance due to concerns under Guideline E (Personal Conduct) and Guideline F (Financial Considerations). The Statement of Reasons cited 10 delinquent accounts totaling approximately $30,000, and the applicant's failure to file a 2020 federal income tax return. Additionally, allegations included forging a commander's signature on a loan application, being AWOL from the Army, and dismissed criminal charges for burglary and assault.
While some personal conduct concerns were mitigated, the applicant's financial issues remained unresolved. Specifically, the 10 delinquent accounts totaling $30,000 were not addressed, and the failure to file the 2020 tax return raised significant security concerns.
Ultimately, the applicant did not provide sufficient evidence of financial responsibility or rehabilitation. This lack of demonstrated financial responsibility, coupled with the unresolved debts and unfiled tax return, led to the denial of the security clearance.
Why the Applicant Was Denied
- The applicant had 10 delinquent accounts totaling approximately $30,000, which were unresolved.
- The applicant failed to file her 2020 federal income tax return, raising significant security concerns.
- The applicant did not provide sufficient evidence of financial responsibility or rehabilitation.
Conditions Referenced
- AG ¶ 19(a)raisedInability to Satisfy Debts
- AG ¶ 19(c)raisedHistory of Not Meeting Financial Obligations
- AG ¶ 19(f)raisedFailure to File or Fraudulently Filing Annual Federal, State, or Local Income Tax Returns
- AG ¶ 20(c)rejectedReceiving Financial CounselingThe applicant failed to show any financial benefit from recent financial counseling.
- AG ¶ 20(d)rejectedGood-faith Effort to Repay Overdue CreditorsThe applicant only resolved one small debt and did not demonstrate a meaningful track record of debt management.
- AG ¶ 20(a)appliedBehavior Occurred Under Circumstances Unlikely to RecurThe forgery offense occurred under unusual circumstances while the applicant was in the Army.
Key Rule Quoted
“Any doubt concerning personnel being considered for national security eligibility will be resolved in favor of the national security.”
Procedural Posture
- SOR issuedFeb 16, 2023
- Answer filedApr 20, 2023
- Hearing heldOct 31, 2023
- Decision dateJan 22, 2024
Cite For
- Denial of Security Clearance Due to Unresolved Financial Issues Under Guideline F
- Mitigation of Personal Conduct Concerns Under Guideline E
- Failure to Demonstrate Financial Responsibility and Rehabilitation