Summary
The applicant, a 41-year-old government contractor and former Navy service member, faced security concerns under Guideline B (Foreign Influence) and Guideline F (Financial Considerations) due to delinquent debts and foreign contacts. He demonstrated a good-faith effort to resolve his financial issues and severed ties with foreign contacts, leading to a decision to grant his security clearance.
Under Guideline B (Foreign Influence) and Guideline F (Financial Considerations), the Statement of Reasons alleged the following: Applicant’s fiancée and her son were citizens of Thailand (1.a). Applicant’s fiancée’s mother, sisters, and brother are citizens and residents of Thailand (1.b). delinquent on a charged-off account in the amount of $20,772, as stated in subparagraph 1.a. This debt was for a joint credit card account that Applicant shared with the ex-girlfriend. It became delinquent in 2012. It was discharged by the creditor on December 20, 2014, in the amount of $18,274.47. The creditor provided Applicant a 1099-C Cancellation of Debt. It was included in his 2014 individual income tax return. This debt is resolved (1.a). delinquent on a charged-off student loan in the amount of $5,795, as stated in subparagraph 1.b. This debt was for an educational loan, as were the debts of: $5,253 (subparagraph 1.d); $8,399 (subparagraph 1.m); $7,562 (subparagraph 1.n); and $2,115 (subparagraph 1.o). All of these debts have been placed with the same creditor and have been delinquent since 2009. Applicant applied for and received forbearance on these accounts until September 1, 2016. Despite the forbearance, he made a $1,420 payment on these debts, and then set up monthly payments of $300. He documented his May 29, 2016 payment. He plans to resolve this debt in full over the next five years. These debts are being resolved (1.b). delinquent on a charged-off account in the amount of $5,708, as stated in subparagraph 1.c. This debt was for a vehicle he purchased for the use of his then fiancée. It was repossessed. Applicant documented he settled this debt with the creditor for a total of $1,728.68. This debt is resolved (1.c). delinquent on a collection account in the amount of $3,239, as stated in subparagraph 1.e. This same debt is also identified as delinquent in subparagraphs 1.h and 1.k. It had been delinquent since at least 2012. Applicant presented a letter from this creditor that indicated this account was 'closed' and the creditor is no longer collecting on this account. This debt is resolved (1.e). delinquent on a charged-off account in the amount of $435, as stated in subparagraph 1.f. This debt was for a retail store charge card and is the same account identified in subparagraph 1.j. Applicant claimed to have paid off this debt on September 15, 2015. Applicant presented a letter from this collection agent indicating the debt is paid. It is resolved (1.f). delinquent on a credit card account in the amount of $15,749, as stated in subparagraph 1.g. This debt is the same as that identified in subparagraph 1.p. Applicant presented documentation that he set up a payment plan with this creditor. He makes monthly payments of $250. This debt is being resolved (1.g). delinquent on a collection account in the amount of $2,197, as stated in subparagraph 1.i. This debt is the same debt as the account identified in 1.l. Applicant presented a letter from this creditor indicating that this debt has been paid. It is resolved (1.i).
The judge granted the clearance. The government raised disqualifying conditions F.1.a, F.1.c, B.1.a. The judge applied mitigating conditions F.2.a, F.2.c, F.2.d, B.2.a, B.2.b, B.2.c. The decision turned on the following: The applicant made a good-faith effort to address all delinquent accounts; He has resolved several debts and established payment plans for others; The applicant no longer has any foreign contacts that could pose a security risk.
Why the Applicant Prevailed
- The applicant made a good-faith effort to address all delinquent accounts.
- He has resolved several debts and established payment plans for others.
- The applicant no longer has any foreign contacts that could pose a security risk.
Conditions Referenced
- F.1.araisedInability or Unwillingness to Satisfy Debts
- F.1.craisedA History of Not Meeting Financial Obligations
- B.1.araisedContact with a Foreign Family Member, Business or Professional Associate, Friend, or Other Person Who Is a Citizen of or Resident in a Foreign Country
- F.2.aappliedThe Behavior Happened so Long Ago, Was so Infrequent, or Occurred Under Such Circumstances That It Is Unlikely to Recur
- F.2.cappliedThe 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 Control
- F.2.dappliedThe Individual Initiated a Good-faith Effort to Repay Overdue Creditors or Otherwise Resolve Debts
- B.2.aappliedThe Nature of the Relationship with Foreign Persons Is Such That It Is Unlikely the Individual Will Be Placed in a Position of Having to Choose Between the Interests of a Foreign Individual and the Interests of the U.S.
- B.2.bappliedThere Is No Conflict of Interest Due to Minimal Loyalty or Obligation to the Foreign Person
- B.2.cappliedContact or Communication with Foreign Citizens Is so Casual and Infrequent That There Is Little Likelihood That It Could Create a Risk for Foreign Influence or Exploitation
Key Rule Quoted
“The protection of the national security is the paramount consideration.”
Procedural Posture
- SOR issuedAug 25, 2015
- Answer filedSep 28, 2015
- Hearing heldMay 18, 2016
- Decision dateSep 16, 2016
Cite For
- Mitigation of Financial Issues Under Guideline F
- Severance of Foreign Contacts Under Guideline B
- Good-faith Efforts to Resolve Debts as a Mitigating Factor