Summary
A 51-year-old veteran with a 100% disability rating for PTSD was granted a security clearance despite allegations under Guideline F (Financial Considerations). The Statement of Reasons cited his failure to timely file federal income tax returns for 2013, 2014, and 2015, and outstanding federal taxes for 2012 through 2015. Additionally, he owed his state $20,532 for unpaid income taxes from 2013 to 2015, and a bank had a $105,000 judgment against him from a deed in lieu of foreclosure.
The decision to grant the clearance was based on several mitigating factors. The applicant's financial difficulties were largely attributed to circumstances beyond his control, specifically divorce and PTSD. He demonstrated responsible behavior by establishing payment agreements for his debts and maintaining current payments.
Furthermore, the applicant actively sought financial counseling, showing a commitment to resolving his financial issues and managing his finances responsibly. The judge concluded that the applicant's financial problems were being resolved and were unlikely to recur, leading to the granting of his security clearance.
Why the Applicant Prevailed
- The applicant's financial problems were largely due to circumstances beyond his control, including divorce and PTSD.
- He established payment agreements for his debts and was current on those payments.
- The applicant demonstrated a commitment to resolving his financial issues through counseling and responsible financial management.
Conditions Referenced
- AG ¶ 19(a)raisedInability to Satisfy Debts
- 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 Income Tax as Required
- AG ¶ 20(b)appliedConditions That Resulted in the Financial Problem Were Largely Beyond the Person’s Control
- AG ¶ 20(d)appliedThe Individual Initiated and Is Adhering to a Good-faith Effort to Repay Overdue Creditors or Otherwise Resolve Debts
- AG ¶ 20(c)appliedThe Person Has Received or Is Receiving Counseling for the Problem From a Legitimate and Credible Source
- AG ¶ 20(g)appliedThe Individual Has Made Arrangements with the Appropriate Tax Authority to File or Pay the Amount Owed and Is in Compliance with Those Arrangements
Key Rule Quoted
“Eligibility for access to classified information may be granted only upon a finding that it is clearly consistent with the national interest to do so.”
Procedural Posture
- SOR issuedJan 17, 2017
- Answer filedFeb 11, 2017
- Hearing heldJul 13, 2017via MS Teams
- Decision dateNov 17, 2017
Cite For
- Mitigating Conditions Under Guideline F Due to Circumstances Beyond Control
- Good-faith Efforts to Resolve Financial Issues
- Impact of PTSD on Financial Responsibility