Summary
The applicant, a divorced father of two, faced security clearance denial under Guideline F due to significant financial issues, including multiple delinquent child support obligations and tax liens. Despite some efforts to address his debts, the applicant's financial situation remained unresolved and raised concerns about his reliability and judgment.
Under Guideline F (Financial Considerations), the Statement of Reasons alleged the following: a $62,145 child support account that was placed for collection (1.a). a $59,424 child support account that was placed for collection (1.b). a $405 charged off account (1.c). a deficiency balance for a repossessed automobile in the amount of $11,777 which was charged off (1.d). a federal tax lien for tax year 2012 in the amount of $2,075 (1.e). a federal tax lien for tax year 2014 in the amount of $1,486 (1.f). a state tax lien for tax year 2011 in the amount of $2,363 (1.g). a $10,103 judgment entered against Applicant on behalf of a bank (1.h). a $434 cell phone account that was placed for collection (1.i).
The judge denied the clearance. The government raised disqualifying conditions AG ¶ 19(a), AG ¶ 19(c). The judge applied mitigating conditions AG ¶ 20(b), AG ¶ 20(d), AG ¶ 20(e). The decision turned on the following: The applicant admitted to multiple delinquent debts, including child support arrearages exceeding $62,000 and federal tax liens; The applicant failed to provide sufficient evidence of a good-faith effort to resolve his financial obligations; The applicant's financial issues were ongoing and raised questions about his current reliability and trustworthiness.
Why the Applicant Was Denied
- The applicant admitted to multiple delinquent debts, including child support arrearages exceeding $62,000 and federal tax liens.
- The applicant failed to provide sufficient evidence of a good-faith effort to resolve his financial obligations.
- The applicant's financial issues were ongoing and raised questions about his current reliability and trustworthiness.
Conditions Referenced
- AG ¶ 19(a)appliedInability or Unwillingness to Satisfy Debts
- AG ¶ 19(c)appliedHistory of Not Meeting Financial Obligations
- AG ¶ 20(b)rejectedConditions Largely Beyond the Person's ControlWhile the applicant was unemployed, many debts were delinquent prior to his job loss.
- AG ¶ 20(d)rejectedGood-faith Effort to Repay Overdue CreditorsThe applicant did not demonstrate a consistent effort to resolve his debts.
- AG ¶ 20(e)appliedReasonable Basis to Dispute Legitimacy of Past-due DebtThe applicant successfully disputed one child support debt.
Key Rule Quoted
“Failure to comply with Federal and/or state tax laws suggests that an applicant has a problem with abiding by well-established Government rules and regulations.”
Procedural Posture
- SOR issuedOct 19, 2015
- Answer filedNov 10, 2015
- Hearing held—Decision made on the record.
- Decision dateOct 7, 2016
Cite For
- Denial of Security Clearance Due to Unresolved Financial Obligations Under Guideline F
- Impact of Tax Compliance on Security Clearance Eligibility
- Consideration of Ongoing Financial Issues in Security Clearance Determinations