Summary
A 52-year-old senior programmer analyst with over two decades of employment was denied a security clearance under Guideline F (Financial Considerations) due to multiple unresolved financial issues. The Statement of Reasons (SOR) detailed 15 specific financial concerns, including two Chapter 13 bankruptcy filings—one in January 2014, dismissed in May 2014, and another filed in May 2015 that remained pending.
Additional allegations included two debts in collection totaling $181, another debt in collection for $109, and a mortgage past due by $6,649. The applicant also had numerous traffic tickets in collection, amounting to $65, $200, $100, $55, $55, $250, $105, $105, $200, and $105, along with a $105 traffic ticket from another jurisdiction. The applicant admitted to 14 of these 15 financial concerns.
Despite a significant income, the applicant failed to provide evidence of efforts to resolve outstanding debts or establish payment plans. The adjudicator found the financial issues to be numerous, ongoing, and not incurred under circumstances making recurrence unlikely, leading to concerns about the applicant's reliability and trustworthiness. Consequently, the security clearance was denied.
Why the Applicant Was Denied
- Applicant admitted to 14 of the 15 financial concerns raised in the SOR.
- Applicant failed to provide evidence of efforts to resolve outstanding debts or establish payment plans.
- The applicant's financial issues were numerous, ongoing, and not incurred under circumstances making recurrence unlikely.
Conditions Referenced
- AG ¶ 19(a)raisedInability to Satisfy Debts
- AG ¶ 19(b)raisedUnwillingness to Satisfy Debts Regardless of the Ability to Do So
- AG ¶ 19(c)raisedA History of Not Meeting Financial Obligations
- AG ¶ 20(d)appliedThe Individual Has Initiated and Is Adhering to a Good-faith Effort to Repay the Overdue Creditors or Otherwise Resolve DebtsApplicant is current with bankruptcy payments and mortgage payments.
- AG ¶ 20(a)rejectedThe Behavior Happened so Long Ago, Was so Infrequent, or Occurred Under Such Circumstances That It Is Unlikely to Recur
- AG ¶ 20(b)rejectedThe Conditions That Resulted in the Financial Problems Were Largely Beyond the Person’s Control
- AG ¶ 20(c)rejectedThe Person Has Received or Is Receiving Counseling for the Problem From a Legitimate and Credible Source
Key Rule Quoted
“Failure or inability to live within one’s means, satisfy debts, and meet financial obligations may indicate poor self-control, lack of judgment, or unwillingness to abide by rules and regulations, all of which can raise questions about a person’s reliability, trustworthiness, and ability to protect classified or sensitive information.”
Procedural Posture
- SOR issuedApr 25, 2016
- Answer filedMay 12, 2016
- Hearing heldAug 3, 2017
- Decision dateNov 14, 2017
Cite For
- Failure to Mitigate Financial Considerations Under Guideline F
- Importance of Demonstrating Responsible Financial Management for Security Clearance
- Impact of Unresolved Debts on Security Clearance Eligibility