Summary
A 38-year-old flight simulator technician was denied a security clearance under Guideline F, Financial Considerations, due to significant unresolved financial delinquencies totaling over $52,000. The Statement of Reasons detailed several specific debts, including a credit card debt of $13,619 placed for collections, and multiple delinquent student loans amounting to $9,596, $7,854, $5,994, and $5,934. Additionally, two past-due accounts of $713 and $344 were cited.
The applicant attributed his financial difficulties to medical problems and a history of unemployment. However, the decision found that he failed to demonstrate responsible actions to mitigate these debts. Disqualifying conditions under AG ¶ 19(a), (b), and (c) were raised, while mitigating conditions under AG ¶ 20(a), (b), (c), (d), and (e) were considered.
Ultimately, the clearance was denied because the applicant accumulated at least $52,431 in delinquent debt from 2015 to the present, failed to establish responsible actions regarding his debts, and showed no clear indications that his financial problems were under control. He did not meet the burden of proof for security clearance eligibility.
Why the Applicant Was Denied
- Applicant accumulated at least $52,431 in delinquent debt from 2015 to the present.
- He failed to establish that he has acted responsibly with respect to his debts.
- There are no clear indications that Applicant’s financial problems are under control.
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)raisedHistory of Not Meeting Financial Obligations
- AG ¶ 20(a)rejectedBehavior Happened so Long Ago, Was Infrequent, or Occurred Under Circumstances Unlikely to Recur
- AG ¶ 20(b)rejectedConditions That Resulted in Financial Problems Were Largely Beyond the Person's Control
- AG ¶ 20(c)rejectedReceived Financial Counseling From a Legitimate Source
- AG ¶ 20(d)rejectedInitiated and Is Adhering to a Good-faith Effort to Repay Overdue Creditors
- AG ¶ 20(e)rejectedHas a Reasonable Basis to Dispute the Legitimacy of the Past-due Debt
Key Rule Quoted
“Failure to live within one’s means, satisfy debts, and meet financial obligations may indicate poor self-control, lack of judgment, or unwillingness to abide by rules and regulations, all of which can raise questions about an individual’s reliability, trustworthiness, and ability to protect classified or sensitive information.”
Procedural Posture
- SOR issuedMay 15, 2017
- Answer filedMay 15, 2017
- Hearing heldSep 20, 2017Applicant received an extension until December 1, 2017, to submit post-hearing documentation.
- Decision dateOct 30, 2017
Cite For
- Failure to Demonstrate Responsible Actions to Mitigate Financial Issues
- Significant Unresolved Financial Delinquencies as a Basis for Denial
- Insufficient Evidence of Rehabilitation Under Guideline F