ISCR Case 17-02470.h1

Case Headnote

ISCR Case No. 17-02470.h1

deniedJul 20, 2018· Hon. Martin H. Mogul· hearing

Summary

A 58-year-old administrative specialist employed by a defense contractor was denied a security clearance under Guideline F (Financial Considerations) due to multiple unresolved financial delinquencies. The Statement of Reasons (SOR) cited ten overdue debts, ranging from $229 to $11,237. The applicant admitted all debts in her response to the SOR, outlining various payment arrangements for most. For example, one debt of $1,667 was to be paid at $418.03 for 12 months starting October 2017, while another for $11,237 involved initial payments of $50 for three months, then $180 thereafter.

Among the ten debts, only two were resolved: a $1,696 debt was paid in full for $2,193, and a paid letter was provided. For another debt of $537, a payment arrangement of $363.75 was made, contingent on locating telephone equipment. The remaining debts, including amounts of $10,971, $1,487, $620, $422, $331, and $229, had various payment plans initiated or proposed by the applicant.

Despite the applicant attributing her financial issues to personal circumstances, the judge found insufficient evidence of responsible debt management. The denial was based on the presence of multiple unresolved delinquent debts, the resolution of only two out of ten debts, and the applicant's failure to provide evidence of timely actions to address her financial issues, raising concerns about her reliability and trustworthiness.

Why the Applicant Was Denied

The applicant had multiple unresolved delinquent debts, raising concerns about her reliability and trustworthiness.
Only two of the ten debts listed in the SOR were resolved, indicating a lack of responsible debt management.
The applicant failed to provide evidence of timely actions taken to address her financial issues.

Conditions Referenced

Disqualifying

AG ¶ 19(a)raisedInability to Satisfy Debts
AG ¶ 19(c)raisedA History of Not Meeting Financial Obligations

Mitigating

AG ¶ 20(b)rejectedConditions Largely Beyond the Person's ControlWhile the applicant cited personal circumstances, the judge found no evidence of responsible actions taken regarding her debts.
AG ¶ 20(d)rejectedGood-faith Effort to Repay Overdue CreditorsThe applicant did not demonstrate a consistent effort to resolve her debts.

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 issuedAug 4, 2017
Answer filedSep 26, 2017
Hearing heldDec 14, 2017
Decision dateJul 20, 2018

Cite For

Denial Based on Unresolved Financial Delinquencies Under Guideline F
Insufficient Evidence of Responsible Debt Management
Impact of Personal Circumstances on Financial Obligations

Editorial summary generated for research. Not legal advice; not a prediction. Verify against the full decision before relying on any quoted language.

¶	Allegation	Finding	Type	Response	Disqualifying (¶19)	Mitigating applied (¶20)	Mitigation
1.a	This overdue debt is cited in the SOR for a delinquent account in the amount of $1,667. Applicant admitted this debt in her RSOR. She wrote that a payment arrangement for this debt was made where she would pay $418.03 for 12 months starting on October 2017, for a total to be paid of $5,016.41. $1,667	Against Applicant	Unspecified Financial	Admitted	(a) inability to satisfy debts (c) a history of not meeting financial obligations	—	—
1.b	This overdue debt is cited in the SOR for a delinquent account in the amount of $11,237. Applicant admitted this debt in her RSOR. She wrote that she will make 3 monthly payments of $50 and then $180 thereafter. $11,237	Against Applicant	Unspecified Financial	Admitted	(a) inability to satisfy debts (c) a history of not meeting financial obligations	—	—
1.c	This overdue debt is cited in the SOR for a delinquent account in the amount of $10,971. Applicant admitted this debt in her RSOR. She wrote that payment arrangements of $100 a month have been made. $10,971	Against Applicant	Unspecified Financial	Admitted	(a) inability to satisfy debts (c) a history of not meeting financial obligations	—	—
1.d	This overdue debt is cited in the SOR for a delinquent account in the amount of $1,487. Applicant admitted this debt in her RSOR. She wrote that she made payment arrangements of $25 a month, beginning in September, 2017. $1,487	Against Applicant	Unspecified Financial	Admitted	(a) inability to satisfy debts (c) a history of not meeting financial obligations	—	—
1.e	This overdue debt is cited in the SOR for a delinquent account in the amount of $620. Applicant admitted this debt in her RSOR. She wrote that payment arrangements of $155.05 a month have been made for four months to begin in October 2017. $620	Against Applicant	Unspecified Financial	Admitted	(a) inability to satisfy debts (c) a history of not meeting financial obligations	—	—
1.f	This overdue debt is cited in the SOR for a delinquent account in the amount of $537. Applicant admitted this debt in her RSOR. She wrote that a payment arrangement of $363.75 has been made, and she will pay it once she locates the telephone equipment. $537	Against Applicant	Unspecified Financial	Admitted	(a) inability to satisfy debts (c) a history of not meeting financial obligations	—	—
1.g	This overdue debt is cited in the SOR for a delinquent account in the amount of $422. Applicant admitted this debt in her RSOR. She wrote that a payment arrangement has been made, and when it is complete she will receive a payoff letter. $422	Against Applicant	Unspecified Financial	Admitted	(a) inability to satisfy debts (c) a history of not meeting financial obligations	—	—
1.h	This overdue debt is cited in the SOR for a delinquent account in the amount of $331. Applicant admitted this debt in her RSOR. She wrote that a payment arrangement has been made, and she will pay $200 on September 29, 2017. When the payment is made she will receive a payoff letter. $331	For Applicant	Unspecified Financial	Admitted	—	—	—
1.i	This overdue debt is cited in the SOR for a delinquent account in the amount of $229. Applicant admitted this debt in her RSOR. She wrote that a payment arrangement has been made, and she will pay $95.50 in October and $95.50 in November. $229	Against Applicant	Unspecified Financial	Admitted	(a) inability to satisfy debts (c) a history of not meeting financial obligations	—	—
1.j	This overdue debt is cited in the SOR for a delinquent account in the amount of $1,696. Applicant admitted this debt in her RSOR. She wrote that this debt had been paid in full in the amount of $2,193, and a paid letter was attached to her RSOR. $1,696	For Applicant	Unspecified Financial	Admitted	—	—	—

Allegation

Finding

Type

Response

Disqualifying (¶19)

Mitigating applied (¶20)

Mitigation

1.a

This overdue debt is cited in the SOR for a delinquent account in the amount of $1,667. Applicant admitted this debt in her RSOR. She wrote that a payment arrangement for this debt was made where she would pay $418.03 for 12 months starting on October 2017, for a total to be paid of $5,016.41.

$1,667

Against Applicant

Unspecified Financial

Admitted

(a) inability to satisfy debts

(c) a history of not meeting financial obligations

—

1.b

This overdue debt is cited in the SOR for a delinquent account in the amount of $11,237. Applicant admitted this debt in her RSOR. She wrote that she will make 3 monthly payments of $50 and then $180 thereafter.

$11,237

Against Applicant

Unspecified Financial

Admitted

(a) inability to satisfy debts

(c) a history of not meeting financial obligations

—

1.c

This overdue debt is cited in the SOR for a delinquent account in the amount of $10,971. Applicant admitted this debt in her RSOR. She wrote that payment arrangements of $100 a month have been made.

$10,971

Against Applicant

Unspecified Financial

Admitted

(a) inability to satisfy debts

(c) a history of not meeting financial obligations

—

1.d

This overdue debt is cited in the SOR for a delinquent account in the amount of $1,487. Applicant admitted this debt in her RSOR. She wrote that she made payment arrangements of $25 a month, beginning in September, 2017.

$1,487

Against Applicant

Unspecified Financial

Admitted

(a) inability to satisfy debts

(c) a history of not meeting financial obligations

—

1.e

This overdue debt is cited in the SOR for a delinquent account in the amount of $620. Applicant admitted this debt in her RSOR. She wrote that payment arrangements of $155.05 a month have been made for four months to begin in October 2017.

$620

Against Applicant

Unspecified Financial

Admitted

(a) inability to satisfy debts

(c) a history of not meeting financial obligations

—

1.f

This overdue debt is cited in the SOR for a delinquent account in the amount of $537. Applicant admitted this debt in her RSOR. She wrote that a payment arrangement of $363.75 has been made, and she will pay it once she locates the telephone equipment.

$537

Against Applicant

Unspecified Financial

Admitted

(a) inability to satisfy debts

(c) a history of not meeting financial obligations

—

1.g

This overdue debt is cited in the SOR for a delinquent account in the amount of $422. Applicant admitted this debt in her RSOR. She wrote that a payment arrangement has been made, and when it is complete she will receive a payoff letter.

$422

Against Applicant

Unspecified Financial

Admitted

(a) inability to satisfy debts

(c) a history of not meeting financial obligations

—

1.h

This overdue debt is cited in the SOR for a delinquent account in the amount of $331. Applicant admitted this debt in her RSOR. She wrote that a payment arrangement has been made, and she will pay $200 on September 29, 2017. When the payment is made she will receive a payoff letter.

$331

For Applicant

Unspecified Financial

Admitted

—

1.i

This overdue debt is cited in the SOR for a delinquent account in the amount of $229. Applicant admitted this debt in her RSOR. She wrote that a payment arrangement has been made, and she will pay $95.50 in October and $95.50 in November.

$229

Against Applicant

Unspecified Financial

Admitted

(a) inability to satisfy debts

(c) a history of not meeting financial obligations

—

1.j

This overdue debt is cited in the SOR for a delinquent account in the amount of $1,696. Applicant admitted this debt in her RSOR. She wrote that this debt had been paid in full in the amount of $2,193, and a paid letter was attached to her RSOR.

$1,696

For Applicant

Unspecified Financial

Admitted

—

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Summary

Why the Applicant Was Denied

Conditions Referenced

Key Rule Quoted

Procedural Posture

Cite For

Full decision