Summary
A 45-year-old program engineer's security clearance application was denied due to financial considerations under Guideline F. The applicant admitted to multiple debts totaling approximately $29,028, which included delinquent federal taxes. Specific allegations detailed a telecommunications account in collection for $1,613, medical collection accounts for $693 and $111, and a credit collection account for $5,581. Additionally, several credit accounts were charged off, totaling $4,376, $2,416, $1,180, $458, and $680.
The applicant also faced allegations for overdue federal income taxes of about $11,920 for Tax Year 2020, and failing to timely file federal and state income tax returns for Tax Year 2018. Disqualifying conditions were raised, while several mitigating conditions were considered.
Ultimately, the clearance was denied because the applicant's financial problems were deemed longstanding and ongoing, raising concerns about her reliability and judgment. The judge found insufficient evidence of responsible actions taken to resolve these financial issues, specifically noting the applicant's failure to provide documentary evidence of efforts to address her debts and tax obligations.
Why the Applicant Was Denied
- The applicant's financial problems were longstanding and ongoing, raising doubts about her reliability and judgment.
- Insufficient evidence was provided to demonstrate responsible actions taken to resolve financial issues.
- The applicant failed to provide documentary evidence of efforts to address her debts and tax obligations.
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 Annual Federal [or] State Income Tax Returns or Failure to Pay Annual Federal . . . Income Tax as Required
- AG ¶ 20(a)rejectedBehavior Unlikely to RecurThe applicant's financial problems are longstanding and ongoing.
- AG ¶ 20(b)notedConditions Beyond the Person's Control
- AG ¶ 20(c)rejectedReceived Financial CounselingThe applicant has not received financial counseling.
- AG ¶ 20(d)rejectedGood-faith Effort to Repay DebtsInsufficient evidence of good-faith efforts to resolve debts.
- AG ¶ 20(e)rejectedDispute Legitimacy of Past-due DebtNo documentary evidence provided to substantiate disputes.
- AG ¶ 20(g)appliedArrangements with Tax AuthorityEstablished for the state income tax return but not for federal taxes.
Key Rule Quoted
“Eligibility for a security clearance is predicated upon the applicant meeting the criteria contained in the adjudicative guidelines.”
Procedural Posture
- SOR issuedAug 6, 2024
- Answer filedSep 14, 2024
- Hearing heldJul 21, 2025via video teleconference
- Decision dateNov 24, 2025
Cite For
- Denial of Security Clearance Due to Financial Irresponsibility Under Guideline F
- Importance of Documentary Evidence in Financial Matters
- Evaluation of Whole-person Concept in Security Clearance Decisions