ISCR Case 06-14119.h1

Case Headnote

ISCR Case No. 06-14119.h1

deniedJul 12, 2007· Hon. Martin H. Mogul· hearing

Summary

A 38-year-old defense contractor employee was denied a security clearance due to concerns under Guideline E (Personal Conduct), Guideline F (Financial Considerations), and Guideline J (Criminal Conduct). The denial stemmed from a history of unresolved overdue debts totaling approximately $8,000 and the applicant providing false information on a government questionnaire regarding these financial obligations.

Specifically, the Statement of Reasons cited eleven overdue debts ranging from $149 to $2,223, which remained unresolved. Additionally, the applicant furnished untruthful information to the Government on a signed, sworn questionnaire completed on August 24, 2004. This misrepresentation was considered a violation of Federal Law, Title 18, United States Code Section 1001, a felony, constituting criminal conduct.

The judge found the applicant's credibility suspect and determined that he failed to demonstrate any mitigating circumstances or efforts to resolve his financial issues. Consequently, the security clearance application was denied.

Why the Applicant Was Denied

The applicant has a history of overdue debts totaling approximately $8,000 that remain unresolved.
The applicant provided materially incorrect and incomplete information on a government questionnaire regarding his indebtedness.
The applicant failed to demonstrate any mitigating circumstances or efforts to resolve his financial issues.

Conditions Referenced

Disqualifying

E2.A6.1.2.1raisedFinancial Considerations - History of Not Meeting Financial Obligations
E2.A6.1.2.3raisedFinancial Considerations - Inability or Unwillingness to Satisfy Debts
E2.A5.1.2.2appliedPersonal Conduct - Omissions and Concealment of Relevant and Material Facts
E2.A10.1.2.1appliedCriminal Conduct - Allegations or Admissions of Criminal Conduct
E2.A10.1.2.2appliedCriminal Conduct - A Single Serious Crime or Multiple Lesser Offenses

Key Rule Quoted

“The standard that must be met for . . . assignment to sensitive duties is that, based on all available information, the person's loyalty, reliability, and trustworthiness are such that . . . assigning the person to sensitive duties is clearly consistent with the interests of national security.”
— DoD 5200.2-R, ¶ C6.1.1.1.

Procedural Posture

SOR issuedAug 31, 2006
Answer filedSep 20, 2006Applicant's signed and sworn statement.
Hearing heldJun 12, 2007
Decision dateJul 12, 2007

Cite For

Denial of Security Clearance Due to Unresolved Financial Obligations
Credibility Issues Arising From False Statements on Government Questionnaires
Failure to Demonstrate Mitigation in Financial and Personal Conduct Cases

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

¶	Allegation	Finding	Conduct	Concealed Issue	Response	Disqualifying (¶16)	Mitigating applied (¶17)	Mitigation
2.a	When he completed a signed, sworn QPTP on August 24, 2004, he furnished untruthful information to the Government.	Against Applicant	Omission or Failure to DiscloseFOUND DELIBERATE	Financial	Denied	(b) deliberately providing false information to an investigator or official	—	—

Allegation

Finding

Conduct

Concealed Issue

Response

Disqualifying (¶16)

Mitigating applied (¶17)

Mitigation

2.a

When he completed a signed, sworn QPTP on August 24, 2004, he furnished untruthful information to the Government.

Against Applicant

Omission or Failure to DiscloseFOUND DELIBERATE

Financial

Denied

(b) deliberately providing false information to an investigator or official

—

¶	Allegation	Finding	Type	Response	Disqualifying (¶19)	Mitigating applied (¶20)	Mitigation
1.a	This overdue debt to Creditor 1 is cited in the SOR in the amount of $1,834. $1,834	Against Applicant	Unspecified Financial	Admitted	(a) inability to satisfy debts (c) a history of not meeting financial obligations	—	—
1.b	This overdue debt to Creditor 2 is cited in the SOR in the amount of $237. $237	Against Applicant	Unspecified Financial	Admitted	(a) inability to satisfy debts (c) a history of not meeting financial obligations	—	—
1.c	This overdue debt to Creditor 3 is cited in the SOR in the amount of $417.21. $417	Against Applicant	Unspecified Financial	Admitted	(a) inability to satisfy debts (c) a history of not meeting financial obligations	—	—
1.d	This overdue debt to Creditor 4 is cited in the SOR in the amount of $279.79. $279	Against Applicant	Unspecified Financial	Admitted	(a) inability to satisfy debts (c) a history of not meeting financial obligations	—	—
1.e	This overdue debt to Creditor 5 is cited in the SOR in the amount of $1,069. $1,069	Against Applicant	Unspecified Financial	Admitted	(a) inability to satisfy debts (c) a history of not meeting financial obligations	—	—
1.f	This overdue debt to Creditor 6 is cited in the SOR in the amount of $167. $167	Against Applicant	Unspecified Financial	Admitted	(a) inability to satisfy debts (c) a history of not meeting financial obligations	—	—
1.g	This overdue debt to Creditor 7 is cited in the SOR in the amount of $149. $149	Against Applicant	Unspecified Financial	Admitted	(a) inability to satisfy debts (c) a history of not meeting financial obligations	—	—
1.h	This overdue debt to Creditor 8 is cited in the SOR in the amount of $2,223. $2,223	Against Applicant	Unspecified Financial	Admitted	(a) inability to satisfy debts (c) a history of not meeting financial obligations	—	—
1.i	This overdue debt to Creditor 9 is cited in the SOR in the amount of $450. $450	Against Applicant	Unspecified Financial	Admitted	(a) inability to satisfy debts (c) a history of not meeting financial obligations	—	—
1.j	This overdue debt to Creditor 10 is cited in the SOR in the amount of $846.21. $846	Against Applicant	Unspecified Financial	Admitted	(a) inability to satisfy debts (c) a history of not meeting financial obligations	—	—
1.k	This overdue debt to Creditor 11 is cited in the SOR in the amount of $377. $377	Against Applicant	Unspecified Financial	Admitted	(a) inability to satisfy debts (c) a history of not meeting financial obligations	—	—

Allegation

Finding

Type

Response

Disqualifying (¶19)

Mitigating applied (¶20)

Mitigation

1.a

This overdue debt to Creditor 1 is cited in the SOR in the amount of $1,834.

$1,834

Against Applicant

Unspecified Financial

Admitted

(a) inability to satisfy debts

(c) a history of not meeting financial obligations

—

1.b

This overdue debt to Creditor 2 is cited in the SOR in the amount of $237.

$237

Against Applicant

Unspecified Financial

Admitted

(a) inability to satisfy debts

(c) a history of not meeting financial obligations

—

1.c

This overdue debt to Creditor 3 is cited in the SOR in the amount of $417.21.

$417

Against Applicant

Unspecified Financial

Admitted

(a) inability to satisfy debts

(c) a history of not meeting financial obligations

—

1.d

This overdue debt to Creditor 4 is cited in the SOR in the amount of $279.79.

$279

Against Applicant

Unspecified Financial

Admitted

(a) inability to satisfy debts

(c) a history of not meeting financial obligations

—

1.e

This overdue debt to Creditor 5 is cited in the SOR in the amount of $1,069.

$1,069

Against Applicant

Unspecified Financial

Admitted

(a) inability to satisfy debts

(c) a history of not meeting financial obligations

—

1.f

This overdue debt to Creditor 6 is cited in the SOR in the amount of $167.

$167

Against Applicant

Unspecified Financial

Admitted

(a) inability to satisfy debts

(c) a history of not meeting financial obligations

—

1.g

This overdue debt to Creditor 7 is cited in the SOR in the amount of $149.

$149

Against Applicant

Unspecified Financial

Admitted

(a) inability to satisfy debts

(c) a history of not meeting financial obligations

—

1.h

This overdue debt to Creditor 8 is cited in the SOR in the amount of $2,223.

$2,223

Against Applicant

Unspecified Financial

Admitted

(a) inability to satisfy debts

(c) a history of not meeting financial obligations

—

1.i

This overdue debt to Creditor 9 is cited in the SOR in the amount of $450.

$450

Against Applicant

Unspecified Financial

Admitted

(a) inability to satisfy debts

(c) a history of not meeting financial obligations

—

1.j

This overdue debt to Creditor 10 is cited in the SOR in the amount of $846.21.

$846

Against Applicant

Unspecified Financial

Admitted

(a) inability to satisfy debts

(c) a history of not meeting financial obligations

—

1.k

This overdue debt to Creditor 11 is cited in the SOR in the amount of $377.

$377

Against Applicant

Unspecified Financial

Admitted

(a) inability to satisfy debts

(c) a history of not meeting financial obligations

—

¶	Allegation	Finding	Offense	Criminal disposition	Response	Disqualifying (¶31)	Mitigating applied (¶32)	Mitigation
3.a	Applicant is ineligible for clearance because he has engaged in criminal conduct. Applicant's conduct involved furnishing information to the Government in the form of a written, signed, completed questionnaire that was less than complete and truthful, as alleged in the SOR as 3.a. These misrepresentations are a violation of Federal Law, Title 18, United States Code Section 1001, a felony.	Against Applicant	Fraud or Deception Criminal	Conduct No Charge	Denied	(a) pattern of minor offenses casting doubt on judgment/reliability (b) evidence of criminal conduct, regardless of charge or conviction	—	—

Allegation

Finding

Offense

Criminal disposition

Response

Disqualifying (¶31)

Mitigating applied (¶32)

Mitigation

3.a

Applicant is ineligible for clearance because he has engaged in criminal conduct. Applicant's conduct involved furnishing information to the Government in the form of a written, signed, completed questionnaire that was less than complete and truthful, as alleged in the SOR as 3.a. These misrepresentations are a violation of Federal Law, Title 18, United States Code Section 1001, a felony.

Against Applicant

Fraud or Deception Criminal

Conduct No Charge

Denied

(a) pattern of minor offenses casting doubt on judgment/reliability

(b) evidence of criminal conduct, regardless of charge or conviction

—

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Case Profile

Summary

Why the Applicant Was Denied

Conditions Referenced

Key Rule Quoted

Procedural Posture

Cite For

Full decision

DEFENSE OFFICE OF HEARINGS AND APPEALS

HEARING

SYNOPSIS

APPEARANCES

STATEMENT OF CASE

FINDINGS OF FACT

POLICIES

CONCLUSION

FORMAL FINDINGS

DECISION