Summary
A 38-year-old defense contractor and Marine Corps veteran was granted a security clearance despite initial concerns under Guideline F (Financial Considerations). The Statement of Reasons (SOR) alleged that the applicant failed to file federal and state income tax returns for 2010-2012, misused a corporate credit card in 2010, and had three delinquent collection debts totaling approximately $624.
The applicant successfully mitigated these concerns. He resolved his federal and state tax issues by filing the overdue returns and paying the owed taxes. Regarding the delinquent debts, one was paid, and the remaining two, totaling $383, were disputed by the applicant and no longer appeared on his credit report, with the judge noting their minor significance.
Furthermore, the applicant provided evidence of his character and integrity through references from co-workers and supervisors, demonstrating a commitment to timely financial management. Based on the resolution of his tax issues, the minimal significance or resolution of his debts, and strong character evidence, the judge granted eligibility for a security clearance.
Why the Applicant Prevailed
- Applicant resolved his federal and state tax issues by filing overdue returns and paying owed taxes.
- He provided evidence of character and integrity from co-workers and supervisors.
- The debts were either resolved or of minimal significance, and he demonstrated a commitment to timely financial management.
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
- F.1.drejectedDeceptive or Illegal Financial PracticesMisuse of corporate credit card did not rise to the level of deceptive practices.
- F.1.fraisedFailure to File or Fraudulently Filing Annual Federal, State, or Local Income Tax Returns
- F.2.aappliedThe Behavior Happened so Long Ago, Was so Infrequent, or Occurred Under Such Circumstances That It Is Unlikely to Recur
- F.2.cappliedThe Individual Has Received or Is Receiving Financial Counseling
- F.2.gappliedThe Individual Has Made Arrangements with the Appropriate Tax Authority to File or Pay the Amount Owed
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 issuedJan 26, 2017
- Answer filedApr 7, 2017
- Hearing heldAug 16, 2017
- Decision dateJan 31, 2018
Cite For
- Mitigation of Financial Issues Under Guideline F
- Resolution of Tax Obligations as a Mitigating Factor
- Character References Supporting Reliability and Trustworthiness