Summary
The applicant, a 49-year-old seeking to renew her security clearance under Guideline F, faced financial concerns due to a history of delinquent debts and a dismissed Chapter 13 bankruptcy. Despite some efforts to address her financial issues, including a new bankruptcy filing, the applicant failed to demonstrate consistent payments and resolution of debts, leading to a denial of her security clearance.
Under Guideline F (Financial Considerations), the Statement of Reasons alleged the following: Filed Chapter 13 Bankruptcy in 1999 (1.a). Phone utility debt for $2,885 (1.b). Cell phone utility debt for $1,953 (1.c). Phone utility debt for $1,858 (1.d). Consumer collection for $470 (1.e). Cable debt for $420 (1.f). Consumer collection for $326 (1.g). Medical collection for $166 (1.h). Medical collection for $50 (1.i). Consumer account charged off for $48 (1.j). Medical collection for $43 (1.k). Credit charge off for $16,281 (1.l). Insurance judgment for $4,845 (1.m). Credit collection for $1,230 (1.n). Credit collection for $2,115 (1.o). Credit collection for $1,192 (1.p). Credit collection for $250 (1.q).
The judge denied the clearance. The government raised disqualifying conditions AG ¶ 19(a), AG ¶ 19(b). The decision turned on the following: The applicant has a history of unresolved delinquent debts and a dismissed Chapter 13 bankruptcy from 1999; She filed a new Chapter 13 bankruptcy in 2015 but missed multiple payments and did not include all debts in the plan; The applicant provided inconsistent and unsubstantiated information regarding her financial situation.
Why the Applicant Was Denied
- The applicant has a history of unresolved delinquent debts and a dismissed Chapter 13 bankruptcy from 1999.
- She filed a new Chapter 13 bankruptcy in 2015 but missed multiple payments and did not include all debts in the plan.
- The applicant provided inconsistent and unsubstantiated information regarding her financial situation.
Conditions Referenced
- AG ¶ 19(a)raisedInability or Unwillingness to Satisfy Debts
- AG ¶ 19(b)raisedA History of Not Meeting Financial Obligations
Key Rule Quoted
“Any doubt concerning personnel being considered for access to classified information will be resolved in favor of national security.”
Procedural Posture
- SOR issuedSep 14, 2015
- Answer filedDec 8, 2015
- Hearing heldOct 3, 2016Hearing held as scheduled after rescheduling.
- Decision dateFeb 14, 2017
Cite For
- Denial Based on Unresolved Financial Obligations Under Guideline F
- Impact of Inconsistent Financial Disclosures on Security Clearance Eligibility
- Importance of Demonstrating Good-faith Efforts to Resolve Debts in Security Clearance Cases