Summary
The applicant, a 44-year-old federal contractor, faced security concerns under Guideline F due to unresolved financial issues, including multiple state tax liens and delinquent debts. Despite attributing some financial difficulties to her divorce, the applicant failed to provide sufficient evidence of efforts to resolve her debts or mitigate the concerns. The judge denied the security clearance, citing a lack of evidence demonstrating financial responsibility and stability.
Under Guideline F (Financial Considerations), the Statement of Reasons alleged the following: Applicant failed to timely file her annual state tax returns as required for tax years 2005 through 2010, and 2013 (1.a). Applicant was indebted to her state of residence on a tax lien entered against her in the approximate amount of $6,535 (1.b). Applicant was indebted to her state of residence on a tax lien entered against her in the approximate amount of $697 (1.c). Applicant was indebted to her state of residence on a tax lien entered against her in the approximate amount of $369 (1.d). Applicant was indebted to her state of residence on a tax lien entered against her in the approximate amount of $519 (1.e). Applicant was indebted to her state of residence on a tax lien entered against her in the approximate amount of $2,528 (1.f). Applicant was indebted on a past-due auto loan in the amount of $36,313 (1.g). Applicant was delinquent in the amount of $1,582 on a student loan totaling $33,697 (1.h). Applicant was indebted to a cellular service provider in the amount of $1,183 (1.i). Applicant was indebted on a charged-off “note loan” in the approximate amount of $670 (1.j). Applicant was indebted on a returned check in the amount of $72 (1.k). Applicant was indebted on a charged-off account (1.l).
The judge denied the clearance. The government raised disqualifying conditions AG ¶ 19(a), AG ¶ 19(b), AG ¶ 19(c), AG ¶ 19(f). The decision turned on the following: Applicant failed to timely file and pay state taxes from 2005 to 2013; Applicant has multiple unresolved delinquent debts totaling over $15,000; Applicant did not provide evidence of financial counseling or good-faith efforts to repay debts.
Why the Applicant Was Denied
- Applicant failed to timely file and pay state taxes from 2005 to 2013.
- Applicant has multiple unresolved delinquent debts totaling over $15,000.
- Applicant did not provide evidence of financial counseling or good-faith efforts to repay debts.
Conditions Referenced
- AG ¶ 19(a)raisedInability to Satisfy Debts
- AG ¶ 19(b)raisedUnwillingness to Satisfy Debts
- AG ¶ 19(c)raisedHistory of Not Meeting Financial Obligations
- AG ¶ 19(f)raisedFailure to File or Fraudulently Filing Tax Returns
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 issuedJun 6, 2017
- Answer filedAug 8, 2017
- Hearing held—Decided on the written record
- Decision dateJan 29, 2018
Cite For
- Failure to Mitigate Financial Considerations Under Guideline F
- Impact of Unresolved Debts on Security Clearance Eligibility
- Importance of Providing Evidence of Financial Responsibility