Summary
The applicant, a 62-year-old government contractor and retired Army master sergeant, faced security concerns under Guideline E (personal conduct) and Guideline F (financial considerations) due to a history of financial difficulties, including a Chapter 7 bankruptcy and delinquent debts. The judge found that the applicant mitigated the financial concerns and did not deliberately falsify information on his security clearance application, ultimately granting eligibility for access to classified information.
Under Guideline E (Personal Conduct) and Guideline F (Financial Considerations), the Statement of Reasons alleged the following: (Chapter 7 bankruptcy): Applicant admitted that he had to file for bankruptcy protection in 2003. The debt discharged was approximately $120,000 (1.a). (unexpired lease debt--$5,558 (duplicate debt with SOR ¶ 1.g)): Applicant presented documentation showing he settled this debt in April 2016 for $4,000. This debt is resolved (1.b). (federal tax lien for 2013--$11,287): Applicant provided documentation showing that he paid the underlying federal taxes that resulted in the lien filing. The lien release is dated August 2015. The payments were made from a levy placed on his military retirement account beginning in August 2011. This tax issue is resolved (1.c). (consumer debt--$150): Applicant presented documentation showing he paid this debt in April 2016. This debt is resolved (1.d). (traffic tickets--$129): Applicant presented documentation showing he paid these debts in March 2016. These debts are resolved (1.e). (traffic tickets--$129): Applicant presented documentation showing he paid these debts in March 2016. These debts are resolved (1.f).
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(b), AG ¶ 20(c), AG ¶ 20(d). The decision turned on the following: The applicant resolved all delinquent debts and demonstrated a good-faith effort to address financial issues; The judge found the applicant's testimony credible regarding the omission of his federal tax debt, concluding there was no intent to deceive; The circumstances leading to the applicant's financial difficulties were largely beyond his control.
Why the Applicant Prevailed
- The applicant resolved all delinquent debts and demonstrated a good-faith effort to address financial issues.
- The judge found the applicant's testimony credible regarding the omission of his federal tax debt, concluding there was no intent to deceive.
- The circumstances leading to the applicant's financial difficulties were largely beyond his control.
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 Happened so Long Ago, Was so Infrequent, or Occurred Under Such Circumstances That It Is Unlikely to Recur
- AG ¶ 20(b)appliedThe Conditions That Resulted in the Financial Problem Were Largely Beyond the Person's Control
- AG ¶ 20(c)appliedThe Person Has Received or Is Receiving Counseling for the Problem
- AG ¶ 20(d)appliedThe Individual Initiated a Good-faith Effort to Repay Overdue Creditors or Otherwise Resolve Debts
Key Rule Quoted
“The protection of the national security is the paramount consideration.”
Procedural Posture
- SOR issuedOct 8, 2015
- Answer filedDec 1, 2015
- Hearing heldMar 29, 2016
- Decision dateSep 22, 2016
Cite For
- Mitigation of Financial Considerations Under Guideline F
- Credibility of Applicant's Testimony Regarding Personal Conduct
- Whole-person Analysis in Security Clearance Determinations