Summary
The applicant, a 62-year-old senior contract specialist, faced security clearance denial under Guideline F due to unresolved financial issues, including multiple delinquent debts totaling approximately $20,300 to $22,000. Despite a stable income since 2004, the applicant failed to demonstrate a plan to address her debts, which raised concerns about her reliability and trustworthiness.
Under Guideline F (Financial Considerations), the Statement of Reasons alleged the following: Adverse judgment for approximately $1,939. Unresolved. This judgment concerns the collection effort by an attorney representing the corporate ownership of the apartment from which Applicant was evicted, as discussed above (1.a). Medical debt for approximately $260. Unresolved. Applicant cannot identify this debt, which was acquired around 2003. She is thinking of disputing the entry with the credit reporting bureaus (1.b). Collection account for approximately $3,681. Unresolved. This debt concerns that debt arising from Applicant’s apartment eviction, as discussed above (1.c). Medical debt for approximately $282. Unresolved. Applicant cannot identify this debt. There is no evidence this entry has been disputed (1.d). Collection account for approximately $2,501. Unresolved. At the hearing, Applicant was unaware of the origin of this account. She was given contact information for the creditor (1.e). Collection account for approximately $148. Insufficient evidence of satisfaction. In her June 28, 2010, post-hearing submission materials, Applicant submitted a portion of a June 8, 2010, statement indicating that the current balance of $148.43 could be settled by payment of $25. The check, however, does not show that it has been transacted (1.f). Charged-off account balance for approximately $3,042. Insufficient evidence of satisfaction. This balance, shown as being for $2,926.03, is for a delinquent student loan for which garnishment was to be applied on Applicant’s first pay check after receipt of a November 15, 2005, notice (1.g). Repossession-related debt for approximately $11,625. Unresolved. This debt was incurred as a result of the repossession of Applicant’s 1996 BMW vehicle in 1993. There is no evidence Applicant has addressed this debt (1.h). Charged-off account balance of approximately $494. Unresolved. Applicant believes this debt, for an account opened in 2003, might have been incurred for automobile tires. She was given contact information for the listed creditor (1.i).
The judge denied the clearance. The government raised disqualifying conditions AG ¶ 19(a), AG ¶ 19(c). The decision turned on the following: The applicant failed to resolve multiple delinquent debts totaling approximately $20,300 to $22,000; The applicant has not made contact with most creditors in several years, indicating an inability or unwillingness to satisfy debts; The applicant did not present a finite plan for addressing her delinquent debts.
Why the Applicant Was Denied
- The applicant failed to resolve multiple delinquent debts totaling approximately $20,300 to $22,000.
- The applicant has not made contact with most creditors in several years, indicating an inability or unwillingness to satisfy debts.
- The applicant did not present a finite plan for addressing her delinquent debts.
Conditions Referenced
- AG ¶ 19(a)raisedInability or Unwillingness to Satisfy Debts
- AG ¶ 19(c)raisedA History of Not Meeting Financial Obligations
Key Rule Quoted
“"The protection of the national security is the paramount consideration."”
Procedural Posture
- SOR issuedMar 24, 2010
- Answer filedApr 12, 2010
- Hearing heldJun 10, 2010Hearing rescheduled once.
- Decision dateSep 30, 2010
Cite For
- Denial of Security Clearance Due to Unresolved Financial Obligations
- Failure to Demonstrate a Plan for Debt Resolution Under Guideline F
- Impact of Financial Instability on Security Clearance Eligibility