Summary
A 40-year-old defense contractor, responsible for four children, was denied a security clearance due to concerns under Guideline E (Personal Conduct) and Guideline F (Financial Considerations). The applicant had approximately $32,000 in delinquent debts, primarily 41 unpaid medical bills, which became delinquent between 2011 and 2016. Additionally, the applicant failed to disclose these debts on his security clearance application.
The Statement of Reasons alleged 49 debts, of which 46 remained unresolved at the time of the decision. While the applicant paid state tax liens totaling $158 in May 2017 and another debt of $55 in June 2017, demonstrating some good-faith effort on a few specific obligations, the vast majority of debts were not paid or resolved. The judge found the applicant's explanation for not disclosing the debts—difficulty with the software program—not credible, concluding that the omission was deliberate given the large number of delinquent accounts.
The denial was based on the significant number of unresolved delinquent debts, the deliberate failure to disclose these debts in the application, and the lack of sufficient evidence demonstrating a good-faith effort to resolve his financial obligations. The judge determined that the applicant failed to mitigate the security concerns raised under both Guideline E and Guideline F.
Why the Applicant Was Denied
- Applicant has a significant number of unresolved delinquent debts, primarily unpaid medical bills.
- Applicant failed to disclose any delinquent debts in his security clearance application, which the judge found to be a deliberate omission.
- The applicant did not provide sufficient evidence to demonstrate a good-faith effort to resolve his financial obligations.
Conditions Referenced
- F.1.araisedInability to Satisfy Debts
- F.1.braisedUnwillingness to Satisfy Debts Regardless of the Ability to Do So
- F.1.craisedA History of Not Meeting Financial Obligations
- E.2.araisedDeliberate Omission, Concealment, or Falsification of Relevant Facts
- F.20.dappliedGood-faith Effort to Repay Overdue Creditors
- E.17.crejectedMinor Offense or Unlikely to RecurThe failure to disclose requested information is not a minor offense and casts doubt on Applicant’s reliability and judgment.
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 issuedSep 6, 2016
- Answer filedNov 11, 2016
- Hearing heldMay 16, 2017
- Decision dateAug 25, 2017
Cite For
- Failure to Disclose Delinquent Debts in Security Clearance Application Under Guideline E
- Significant Unresolved Medical Debts Under Guideline F
- Insufficient Evidence of Financial Responsibility and Management