Summary
A 41-year-old ammunition stock supervisor was denied a security clearance under Guideline F (Financial Considerations) due to unresolved delinquent debts totaling $23,799. The applicant's financial history, including previous bankruptcies, indicated a long-standing pattern of financial difficulties.
Disqualifying conditions were raised concerning the applicant's history of not meeting financial obligations and an inability or unwillingness to satisfy debts. While mitigating conditions were applied, acknowledging the debts were not recent, were not caused by dishonesty, and that the applicant had taken some steps to resolve them, these were insufficient to overcome the concerns.
The denial was primarily based on the applicant's failure to provide evidence of financial counseling or a concrete plan to address the outstanding $23,799 in debts. This demonstrated a lack of responsible financial behavior, leading to the ultimate decision to deny the security clearance.
Why the Applicant Was Denied
- Applicant has a history of unresolved delinquent debts totaling $23,799.
- Applicant failed to provide evidence of financial counseling or a plan to address his debts.
- The applicant's previous bankruptcies indicate a long-standing pattern of financial issues.
Conditions Referenced
- AG ¶ 19(a)raisedInability to Satisfy Debts
- AG ¶ 19(c)raisedA History of Not Meeting Financial Obligations
- AG ¶ 20(a)rejectedBehavior Happened Long Ago or InfrequentlyApplicant did not demonstrate that his financial issues were infrequent or unlikely to recur.
- AG ¶ 20(b)rejectedConditions Largely Beyond the Person's ControlApplicant did not provide sufficient evidence that his financial problems were beyond his control.
- AG ¶ 20(d)rejectedGood-faith Effort to Repay DebtsApplicant failed to show any good-faith efforts to resolve his debts.
- AG ¶ 20(e)rejectedReasonable Basis to Dispute DebtsApplicant did not provide evidence to substantiate any disputes regarding his debts.
Key Rule Quoted
“An applicant does not have to be debt-free in order to qualify for a security clearance. Rather, all that is required is that an applicant act responsibly given his circumstances and develop a reasonable plan for repayment, accompanied by 'concomitant conduct' that is, actions which evidence a serious intent to effectuate the plan.”
Procedural Posture
- SOR issuedJan 31, 2017
- Answer filedFeb 14, 2017Requested decision on the record without a hearing.
- Hearing held—No hearing; decision made on the record.
- Decision dateMay 17, 2018
Cite For
- Denial of Security Clearance Due to Unresolved Financial Obligations
- Failure to Demonstrate Responsible Financial Behavior
- Impact of Financial Distress on Security Clearance Eligibility