Summary
The applicant, a 29-year-old defense contractor, faced security concerns under Guideline F due to financial difficulties, including overdue debts and failure to file federal tax returns. The judge found that the applicant had resolved or was in the process of resolving most debts and had filed overdue tax returns, leading to a decision to grant security clearance.
Under Guideline F (Financial Considerations), the Statement of Reasons alleged the following: This overdue debt is cited in the SOR for a past-due account in the amount of $1,185 (1.a). This overdue debt is cited in the SOR for a state tax lien filed against Applicant in 2012, in the amount of $6,065 (1.b). This overdue debt is also cited in the SOR for a state tax lien filed against Applicant in 2012, in the amount $11,654 (1.c). This overdue debt is also cited in the SOR for a state tax lien filed against Applicant in 2012, in the amount $874 (1.d). This overdue debt is also cited in the SOR for a state tax lien filed against Applicant in 2012, in the amount $4,223 (1.e). This overdue debt is also cited in the SOR for a state tax lien filed against Applicant in 2013, in the amount $10,197 (1.f). This overdue debt to the Department of Education is cited in the SOR for a past-due account in the amount of $521, with a balance of $3,216 (1.g). This second overdue debt to the Department of Education is cited in the SOR for a past-due account in the amount of $328, with a balance of $2,022 (1.h). This overdue debt is cited in the SOR for a delinquent account in the amount of $56 (1.i). The SOR alleges that Applicant failed to file Federal tax returns for at least tax years 2011 and 2012 (1.j).
The judge granted the clearance. The government raised disqualifying conditions AG ¶ 19(a), AG ¶ 19(c). The judge applied mitigating conditions AG ¶ 20(a), AG ¶ 20(d). The decision turned on the following: The applicant demonstrated a good-faith effort to resolve overdue debts; The applicant successfully filed overdue federal tax returns, with minimal amounts owed; The applicant's financial issues were largely attributed to debts that did not belong to him.
Why the Applicant Prevailed
- The applicant demonstrated a good-faith effort to resolve overdue debts.
- The applicant successfully filed overdue federal tax returns, with minimal amounts owed.
- The applicant's financial issues were largely attributed to debts that did not belong to him.
Conditions Referenced
- AG ¶ 19(a)raisedInability or Unwillingness to Satisfy Debts
- AG ¶ 19(c)raisedA History of Not Meeting Financial Obligations
- AG ¶ 20(a)appliedThe Behavior Was Not Recent and the Amounts Owed Were Minimal
- AG ¶ 20(d)appliedThe Applicant Initiated a Good-faith Effort to Repay Overdue Creditors
Key Rule Quoted
“Failure or inability to live within one’s means, satisfy debts, and meet financial obligations may indicate poor self-control, lack of judgment, or unwillingness to abide by rules and regulations, all of which can raise questions about an individual’s reliability, trustworthiness and ability to protect classified information.”
Procedural Posture
- SOR issuedSep 25, 2015
- Answer filedNov 6, 2015Requested decision on written record
- Hearing held—Decision made based on written record
- Decision dateSep 29, 2016
Cite For
- Good-faith Efforts to Resolve Financial Issues Under Guideline F
- Mitigation of Financial Concerns Through Timely Tax Filings
- Whole-person Concept in Evaluating Security Clearance Eligibility