Summary
A 54-year-old engineering laboratory technician was denied a security clearance under Guideline F (Financial Considerations) due to unresolved delinquent debts totaling approximately $54,000. The Statement of Reasons detailed numerous outstanding obligations, including medical debts, unreturned equipment charges, multiple credit card balances, two judgments, a charged-off auto loan, and a mortgage that went to foreclosure. Additionally, the applicant had two separate collection accounts for student loans, each for approximately $22,474, and several other collection accounts ranging from approximately $28 to $1,270.
Despite addressing some obligations, the applicant failed to demonstrate a good faith effort to resolve the majority of her financial issues. The judge found that the applicant did not sufficiently mitigate the financial concerns, particularly her history of not meeting financial obligations.
The denial was based on the applicant's unresolved delinquent debts and her failure to show a good faith effort to address most of her financial obligations, which raised concerns about her reliability and trustworthiness.
Why the Applicant Was Denied
- The applicant has unresolved delinquent debts totaling approximately $54,000.
- The applicant failed to demonstrate a good faith effort to address the majority of her financial obligations.
- The applicant's financial issues raise concerns about her reliability and trustworthiness.
Conditions Referenced
- AG ¶ 19(a)raisedInability or Unwillingness to Satisfy Debts
- AG ¶ 19(c)raisedA History of Not Meeting Financial Obligations
- AG ¶ 20(c)appliedThe Person Has Received or Is Receiving Counseling for the Problem And/or There Are Clear Indications That the Problem Is Being Resolved or Is Under ControlThe applicant received some online financial education.
- AG ¶ 20(d)appliedThe Individual Initiated a Good-faith Effort to Repay Overdue Creditors or Otherwise Resolve DebtsThe applicant paid one judgment, which included some debts.
- AG ¶ 20(b)rejectedThe Conditions That Resulted in the Financial Problem Were Largely Beyond the Person's ControlWhile medical issues contributed to the debts, the majority remain unresolved.
Key Rule Quoted
“A person who seeks access to classified information enters into a fiduciary relationship with the government predicated upon trust and confidence.”
Procedural Posture
- SOR issuedMar 23, 2015
- Answer filedMay 12, 2015
- Hearing heldMar 1, 2016
- Decision dateMar 10, 2016
Cite For
- Financial Considerations Under Guideline F
- Burden of Proof on Applicant to Mitigate Financial Concerns
- Impact of Unresolved Debts on Security Clearance Eligibility