Summary
The applicant, a 59-year-old male with a pending job offer as a security quality assurance engineer, faced security concerns under Guideline F due to delinquent debts stemming from a catastrophic medical condition in 2014. He demonstrated responsible actions by working with creditors to resolve debts and establishing a health savings account. The judge found that the applicant mitigated the financial concerns and granted his security clearance.
Under Guideline F (Financial Considerations), the Statement of Reasons alleged the following: SOR ¶ 1.a alleges a charged-off loan account in the approximate amount of $9,280 (1.a). SOR ¶ 1.b, a medical debt in the amount of $105, that this account was paid in full (1.b). SOR ¶ 1.c alleges a medical collection account in the approximate amount of $754 (1.c). The charged-off loan debt alleged in SOR ¶ 1.d, in the amount of $30,361, is currently being negotiated by Applicant with the creditor (1.d). SOR ¶ 1.g alleges a delinquent account referred for collection in the amount of approximately $4,812 (1.g). SOR ¶ 1.h alleges a delinquent account referred for collection in the amount of approximately $3,168 (1.h). Applicant stated that a medical debt alleged in SOR ¶ 1.i, in the amount of $68, was paid in full (1.i).
The judge granted the clearance. The government raised disqualifying conditions AG ¶ 19(a), AG ¶ 19(c). The judge applied mitigating conditions AG ¶ 20(a), AG ¶ 20(b), AG ¶ 20(c), AG ¶ 20(d). The decision turned on the following: The applicant's financial difficulties were primarily due to a catastrophic medical condition beyond his control; He has taken steps to resolve several delinquent accounts and is actively working with creditors; The applicant demonstrated a commitment to financial responsibility by opening a health savings account.
Why the Applicant Prevailed
- The applicant's financial difficulties were primarily due to a catastrophic medical condition beyond his control.
- He has taken steps to resolve several delinquent accounts and is actively working with creditors.
- The applicant demonstrated a commitment to financial responsibility by opening a health savings account.
Conditions Referenced
- AG ¶ 19(a)raisedInability to Satisfy Debts
- AG ¶ 19(c)raisedA History of Not Meeting Financial Obligations
- AG ¶ 20(a)appliedThe Behavior Happened so Long Ago, Was so Infrequent, or Occurred Under Such Circumstances That It Is Unlikely to Recur
- AG ¶ 20(b)appliedThe Conditions That Resulted in the Financial Problem Were Largely Beyond the Person’s Control
- AG ¶ 20(c)appliedThe Individual Has Received or Is Receiving Financial Counseling
- AG ¶ 20(d)appliedThe Individual Initiated and Is Adhering to a Good-faith Effort to Repay Overdue Creditors
Key Rule Quoted
“A security clearance adjudication is an evaluation of an individual’s judgment, reliability, and trustworthiness. It is not a debt-collection procedure.”
Procedural Posture
- SOR issuedOct 12, 2017
- Answer filedNov 15, 2017
- Hearing heldJun 14, 2018Applicant requested to leave the record open until 07/14/2018.
- Decision dateOct 12, 2018
Cite For
- Mitigation of Financial Concerns Under Guideline F Due to Medical Emergencies
- Good-faith Efforts to Resolve Delinquent Debts
- Impact of Catastrophic Illness on Financial Stability