Summary
The applicant, a 62-year-old military veteran and defense contractor employee, faced security clearance concerns under Guideline E (Personal Conduct) and Guideline F (Financial Considerations) due to admitted financial difficulties and alleged omissions in his security clearance applications. The judge found that the applicant's financial issues stemmed from circumstances beyond his control, and he demonstrated a good-faith effort to resolve his debts, leading to a decision to grant his security clearance.
Under Guideline E (Personal Conduct) and Guideline F (Financial Considerations), the Statement of Reasons alleged the following: a judgment in favor of a merchant for $1,303 (1.a). a state tax lien for $3,104 (1.b). a state tax lien for a different state for $1,449 (1.c). a medical debt for $350 (1.d). a charged off bank credit card for $6,937 (1.e). a gasoline company credit card charged off for $94 (1.f). a department store credit card in collection for $14,475 (1.g). a credit card charged off for $12,020 (1.h). another credit card charged off for $20,252 (1.i). a credit union account in collection for $1,996 (1.j).
The judge granted the clearance. The government raised disqualifying conditions FC DC AG ¶ 19(a), FC DC AG ¶ 19(c), PC DC AG ¶ 16(a). The judge applied mitigating conditions FC MC AG ¶ 20(a), FC MC AG ¶ 20(b), FC MC AG ¶ 20(d). The decision turned on the following: The applicant's financial difficulties were largely due to circumstances beyond his control, including job loss and relocation expenses; He demonstrated a good-faith effort to repay debts, having paid several and having a plan for the remaining debts; The applicant's financial situation has improved, and he is currently living within his means.
Why the Applicant Prevailed
- The applicant's financial difficulties were largely due to circumstances beyond his control, including job loss and relocation expenses.
- He demonstrated a good-faith effort to repay debts, having paid several and having a plan for the remaining debts.
- The applicant's financial situation has improved, and he is currently living within his means.
Conditions Referenced
- FC DC AG ¶ 19(a)raisedInability or Unwillingness to Satisfy Debts
- FC DC AG ¶ 19(c)raisedA History of Not Meeting Financial Obligations
- PC DC AG ¶ 16(a)raisedDeliberate Omission, Concealment, or Falsification of Relevant and Material Facts
- FC MC AG ¶ 20(a)appliedThe Behavior Happened so Long Ago, Was so Infrequent, or Occurred Under Such Circumstances That It Is Unlikely to Recur
- FC MC AG ¶ 20(b)appliedThe Conditions That Resulted in the Financial Problems Were Largely Beyond the Person’s Control
- FC MC AG ¶ 20(d)appliedThe Individual Has Initiated a Good-faith Effort to Repay the Overdue Creditors or Otherwise Resolve Debts
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 issuedOct 15, 2009
- Answer filedNov 2, 2009
- Hearing heldMay 12, 2010
- Decision dateApr 15, 2010
Cite For
- Mitigating Conditions for Financial Difficulties Under Guideline F
- Considerations for Personal Conduct Related to Omissions in Security Clearance Applications
- The Impact of Circumstances Beyond an Applicant's Control on Financial Obligations