Summary
A 27-year-old woman, employed by a Department of Defense contractor, was denied a public trust position due to concerns under Guideline E (Personal Conduct) and Guideline F (Financial Considerations). The applicant had approximately 32 delinquent debts totaling around $33,433. These debts included a $2,917 account delinquent since February 2000, a $10,252 delinquent account related to a vehicle repossession in November 2000, and a $14,046 account placed for collection in September 2004, among many others.
Additionally, a Chapter 13 bankruptcy she filed was dismissed because she failed to make the required plan payments. While her failure to list all debts was not considered a material issue, a significant factor in the denial was her inability to provide a concrete plan to resolve her substantial financial obligations.
Despite some mitigating conditions being considered, the cumulative weight of the numerous delinquent debts, the dismissed bankruptcy, and the absence of a viable financial resolution plan led to the denial of her eligibility for a public trust position.
Why the Applicant Was Denied
- Applicant has approximately 32 delinquent debts totaling about $33,433.
- A Chapter 13 bankruptcy was dismissed due to failure to make plan payments.
- Applicant provided no plan to resolve her delinquent debts.
Conditions Referenced
- FC DC ¶19(a)appliedInability or Unwillingness to Satisfy Debts
- FC DC ¶19(c)appliedA History of Not Meeting Financial Obligations
- FC MC ¶20(b)appliedConditions That Resulted in the Financial Problem Were Largely Beyond the Person's Control
- FC MC ¶20(c)rejectedThe Person Has Received or Is Receiving Counseling for the ProblemNo evidence of financial counseling was provided.
- FC MC ¶20(d)rejectedThe Individual Initiated a Good-faith Effort to Repay Overdue Creditors or Otherwise Resolve DebtsNo evidence of good-faith efforts to resolve debts since bankruptcy dismissal.
Key Rule Quoted
“The adjudicative process is an examination of a sufficient period of a person’s life to make an affirmative determination that the person is eligible for a security clearance.”
Procedural Posture
- SOR issuedSep 22, 2006
- Answer filedNov 13, 2006Applicant elected to have her case decided on the written record.
- Hearing held—No hearing; case decided on written record.
- Decision dateApr 27, 2007
Cite For
- Failure to Provide a Plan to Resolve Delinquent Debts Under Guideline F
- Materiality of Omissions in Trustworthiness Applications Under Guideline E
- Consideration of Financial Circumstances Beyond the Applicant's Control as a Mitigating Factor.