ISCR Case 15-01011.h1

Case Headnote

ISCR Case No. 15-01011.h1

grantedAug 18, 2016· Hon. Carol G. Ricciardello· hearing

Summary

A 48-year-old male applicant with a military background was granted a security clearance despite initial concerns under Guideline F (Financial Considerations). The Statement of Reasons (SOR) detailed several financial allegations, including a $4,558 debt for unreturned communications equipment, a $450 cable bill for his second wife's residence, and a $9,553 credit card debt from his first wife's account where he was an authorized user. Additionally, the SOR listed multiple debts for medical services and a $233 debt that was subsequently paid and removed from his credit report.

Disqualifying conditions under Guideline F were raised, specifically regarding a history of not meeting financial obligations and an inability or unwillingness to satisfy debts. However, the applicant successfully mitigated these concerns.

The decision to grant the clearance was based on several factors: the applicant resolved all delinquent debts and provided documentation of payments. His financial issues were largely attributed to circumstances beyond his control, specifically two divorces. Furthermore, the applicant demonstrated responsible behavior in managing his finances following these divorces, leading to the application of multiple mitigating conditions.

Why the Applicant Prevailed

Applicant resolved all delinquent debts and provided documentation of payments.
Financial issues were attributed to circumstances beyond his control, specifically two divorces.
Applicant demonstrated responsible behavior in managing his finances post-divorce.

Conditions Referenced

Disqualifying

AG ¶ 19(a)raisedInability or Unwillingness to Satisfy Debts
AG ¶ 19(c)raisedA History of Not Meeting Financial Obligations

Mitigating

AG ¶ 20(a)appliedBehavior Happened so Long Ago, Was Infrequent, or Occurred Under Circumstances Unlikely to Recur
AG ¶ 20(b)appliedConditions That Resulted in Financial Problems Were Largely Beyond the Person's Control
AG ¶ 20(c)appliedReceived Counseling for the Problem And/or Clear Indications That the Problem Is Being Resolved
AG ¶ 20(d)appliedInitiated a Good-faith Effort to Repay Overdue Creditors or Resolve Debts
AG ¶ 20(e)appliedReasonable Basis to Dispute the Legitimacy of the Past-due Debt

Key Rule Quoted

“The protection of the national security is the paramount consideration.”

Procedural Posture

SOR issuedAug 1, 2015
Answer filedJan 25, 2016
Hearing heldJun 21, 2016Record held open for additional documents until August 12, 2016.
Decision dateAug 18, 2016

Cite For

Mitigation of Financial Issues Under Guideline F Due to Personal Circumstances
Good-faith Efforts to Resolve Debts
Impact of Divorce on Financial Stability and Security Clearance Eligibility

Editorial summary generated for research. Not legal advice; not a prediction. Verify against the full decision before relying on any quoted language.

¶	Allegation	Finding	Type	Response	Disqualifying (¶19)	Mitigating applied (¶20)	Mitigation
1.a	The debt in SOR ¶ 1.a ($4,558) was for equipment he failed to return to a communications company. $4,558	For Applicant	Unspecified Financial	Admitted	—	(d) good-faith effort to repay or otherwise resolve debts	Documented Debt Paid in Full
1.b	The debts in SOR ¶¶ 1.b, 1.c, and 1.e are for medical services.	For Applicant	Medical Debt	Denied	—	(d) good-faith effort to repay or otherwise resolve debts	Documented Debt Paid in Full
1.c	The debts in SOR ¶¶ 1.b, 1.c, and 1.e are for medical services.	For Applicant	Medical Debt	Denied	—	(d) good-faith effort to repay or otherwise resolve debts	Documented Debt Paid in Full
1.d	The debt in SOR ¶ 1.d ($450) was a cable bill that was for services in the house where his second wife lived. $450	For Applicant	Utility or Phone Debt	Denied	—	(d) good-faith effort to repay or otherwise resolve debts	Documented Debt Paid in Full
1.e	The debts in SOR ¶¶ 1.b, 1.c, and 1.e are for medical services.	For Applicant	Medical Debt	Denied	—	(d) good-faith effort to repay or otherwise resolve debts	Documented Debt Paid in Full
1.f	The debt in SOR ¶ 1.f ($9,553) was for a credit card that belonged to Applicant’s first wife, and he was an authorized user. $9,553	For Applicant	Credit Card Debt	Denied	—	(e) reasonable, documented basis to dispute the debt	Documented Debt Disputed with Creditor
1.g	specific text not stated in this decision	Withdrawn	Unspecified Financial	Unknown	—	—	—
1.h	The debt in SOR ¶ 1.h ($233) is paid. It is no longer listed on his most current credit report. $233	For Applicant	Unspecified Financial	Denied	—	(d) good-faith effort to repay or otherwise resolve debts	Documented Debt Paid in Full
1.i	specific text not stated in this decision	For Applicant	Unspecified Financial	Unknown	—	—	—

Allegation

Finding

Type

Response

Disqualifying (¶19)

Mitigating applied (¶20)

Mitigation

1.a

The debt in SOR ¶ 1.a ($4,558) was for equipment he failed to return to a communications company.

$4,558

For Applicant

Unspecified Financial

Admitted

—

(d) good-faith effort to repay or otherwise resolve debts

Documented

Debt Paid in Full

1.b

The debts in SOR ¶¶ 1.b, 1.c, and 1.e are for medical services.

For Applicant

Medical Debt

Denied

—

(d) good-faith effort to repay or otherwise resolve debts

Documented

Debt Paid in Full

1.c

The debts in SOR ¶¶ 1.b, 1.c, and 1.e are for medical services.

For Applicant

Medical Debt

Denied

—

(d) good-faith effort to repay or otherwise resolve debts

Documented

Debt Paid in Full

1.d

The debt in SOR ¶ 1.d ($450) was a cable bill that was for services in the house where his second wife lived.

$450

For Applicant

Utility or Phone Debt

Denied

—

(d) good-faith effort to repay or otherwise resolve debts

Documented

Debt Paid in Full

1.e

The debts in SOR ¶¶ 1.b, 1.c, and 1.e are for medical services.

For Applicant

Medical Debt

Denied

—

(d) good-faith effort to repay or otherwise resolve debts

Documented

Debt Paid in Full

1.f

The debt in SOR ¶ 1.f ($9,553) was for a credit card that belonged to Applicant’s first wife, and he was an authorized user.

$9,553

For Applicant

Credit Card Debt

Denied

—

(e) reasonable, documented basis to dispute the debt

Documented

Debt Disputed with Creditor

1.g

specific text not stated in this decision

Withdrawn

Unspecified Financial

Unknown

—

1.h

The debt in SOR ¶ 1.h ($233) is paid. It is no longer listed on his most current credit report.

$233

For Applicant

Unspecified Financial

Denied

—

(d) good-faith effort to repay or otherwise resolve debts

Documented

Debt Paid in Full

1.i

specific text not stated in this decision

For Applicant

Unspecified Financial

Unknown

—

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Case Profile

Summary

Why the Applicant Prevailed

Conditions Referenced

Key Rule Quoted

Procedural Posture

Cite For

Full decision

DEFENSE OFFICE OF HEARINGS AND APPEALS

HEARING

APPEARANCES

STATEMENT OF CASE

FINDINGS OF FACT

POLICIES

ANALYSIS

WHOLE PERSON CONCEPT

FORMAL FINDINGS

CONCLUSION

FOOTNOTES