Summary
The applicant, a 65-year-old DOD contractor, faced security clearance denial under Guideline F due to unresolved financial issues, including multiple delinquent debts and a federal tax lien. Despite acknowledging some debts and expressing intent to resolve them, the applicant failed to provide sufficient documentation of payments or progress, leading to the conclusion that financial concerns were not mitigated.
Under Guideline F (Financial Considerations), the Statement of Reasons alleged the following: SOR ¶ 1.a is a charged-off debt for $10,030 (1.a). SOR ¶ 1.b is a student-loan debt placed for collection for $8,967 (1.b). SOR ¶ 1.c is a telecommunications debt placed for collection for $838 (1.c). SOR ¶ 1.d is a charged-off debt for $470 (1.d). SOR ¶ 1.e is a medical debt for $334 (1.e). SOR ¶ 1.f is a charged-off debt for $153 (1.f). SOR ¶ 1.g is a federal tax lien made against Applicant in December 2012 for $7,224 (1.g). SOR ¶ 1.h is a medical debt for $153 (1.h). SOR ¶ 1.i is a telecommunications debt placed for collection for $63 (1.i).
The judge denied the clearance. The government raised disqualifying conditions AG ¶ 19(a), AG ¶ 19(b), AG ¶ 19(c), AG ¶ 19(f). The judge applied mitigating conditions AG ¶ 20(c), AG ¶ 20(d), AG ¶ 20(e). The decision turned on the following: Applicant provided insufficient evidence of resolution of financial issues; Applicant failed to document payments or progress on delinquent debts; The judge found that financial considerations security concerns were not mitigated.
Why the Applicant Was Denied
- Applicant provided insufficient evidence of resolution of financial issues.
- Applicant failed to document payments or progress on delinquent debts.
- The judge found that financial considerations security concerns were not mitigated.
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 ¶ 19(f)raisedFailure 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(c)rejectedThe Individual Has Received or Is Receiving Financial Counseling for the Problem From a Legitimate and Credible SourceApplicant did not provide evidence of financial counseling.
- AG ¶ 20(d)rejectedThe Individual Initiated and Is Adhering to a Good-faith Effort to Repay Overdue Creditors or Otherwise Resolve DebtsApplicant failed to provide documentation of good-faith efforts.
- AG ¶ 20(e)rejectedThe Individual Has a Reasonable Basis to Dispute the Legitimacy of the Past-due DebtApplicant did not provide sufficient evidence to dispute debts.
Key Rule Quoted
“Eligibility for a security clearance is predicated upon the applicant meeting the criteria contained in the adjudicative guidelines.”
Procedural Posture
- SOR issuedDec 21, 2016
- Answer filedJan 12, 2017
- Hearing heldJun 5, 2017
- Decision dateOct 26, 2017
Cite For
- Insufficient Evidence of Financial Resolution Under Guideline F
- Failure to Document Good-faith Efforts to Resolve Debts
- Disqualifying Conditions Related to Financial Considerations