Summary
A 43-year-old married male with a military background was granted a security clearance despite concerns under Guideline B (Foreign Influence) and Guideline F (Financial Considerations). The Statement of Reasons cited three delinquent consumer debts totaling over $11,000, failure to file federal income tax returns for 2013 and 2014, and an outstanding IRS debt of $1,438 for tax year 2012. Foreign influence concerns stemmed from his spouse owning a home in the Philippines valued at approximately $80,000, additional property in the Philippines valued at about $10,000, and property co-owned with his spouse valued at about $20,000.
The judge found that the applicant had taken significant steps to address his financial problems. He provided evidence of a payment plan with the IRS and engagement with a credit counseling agency to resolve his debts. These actions demonstrated a commitment to mitigating the financial concerns.
Furthermore, the applicant's ties to the Philippines were determined not to pose a risk of divided allegiance or foreign influence. Character references also supported his reliability and integrity. Based on these mitigating factors and the applicant's proactive efforts, the security clearance was granted.
Why the Applicant Prevailed
- The applicant provided evidence of efforts to resolve his financial issues, including a payment plan with the IRS and working with a credit counseling agency.
- The applicant's ties to the Philippines were deemed not to create a risk of divided allegiance or foreign influence.
- The applicant's character references supported his reliability and integrity.
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 Annual Federal, State, or Local Income Tax as Required
- AG ¶ 20(b)appliedConditions That Resulted in the Financial Problem Were Largely Beyond the Person's Control
- AG ¶ 20(c)appliedClear Indications That the Problem Is Being Resolved or Is Under Control
- AG ¶ 20(g)appliedIndividual Has Made Arrangements with the Appropriate Tax Authority to File or Pay the Amount Owed and Is in Compliance with Those Arrangements
- AG ¶ 8(a)appliedNature of the Relationships with Foreign Persons Is Such That It Is Unlikely the Individual Will Be Placed in a Position of Having to Choose Between Interests
- AG ¶ 8(b)appliedNo Conflict of Interest Due to Minimal Allegiance to Foreign Interests
Key Rule Quoted
“An applicant is not required to show that every debt in the SOR has been paid. Rather, an applicant is required to demonstrate that he or she has established a plan to resolve his financial problems and taken significant actions to implement that plan.”
Procedural Posture
- SOR issuedJan 18, 2017
- Answer filedFeb 2, 2017Requested decision based on written record without a hearing.
- Hearing held—No hearing; decision based on written record.
- Decision dateOct 14, 2017
Cite For
- Mitigating Conditions for Financial Issues Under Guideline F
- Foreign Influence Considerations Under Guideline B
- Evidence of Good Faith Efforts to Resolve Debts.