Summary
A 57-year-old senior program manager for a defense contractor was granted a security clearance despite concerns under Guideline F (Financial Considerations). The applicant's financial history included two bankruptcy filings in 1986 and 1999, with the latter discharged in 2003. Additionally, the applicant faced allegations concerning multiple delinquent debts, including adverse judgments, collection accounts, and charged-off accounts. These debts ranged from $28 to $10,765, with several related to residential issues, medical expenses, and utility bills.
Many of these debts were satisfied, including a $1,140 residential judgment, a $143 collection account, a charged-off account paid by June 2016, a $359 collection account, a $10,765 collection account, and a $1,335 medical account. However, several debts remained unsatisfied at the time of the hearing, such as a $1,335 adverse judgment, a $511 collection account with a settlement offer, a $551 collection account the applicant intended to pay, and multiple medical and utility accounts. Some outstanding medical and collection accounts were noted as potentially duplicative.
The judge found that the applicant mitigated the security concerns. His financial difficulties were largely attributed to significant medical expenses for his daughter and himself, along with reduced income. The applicant demonstrated a responsible approach by satisfying numerous debts and presenting a reasonable plan to address the remaining obligations, showing good faith efforts. Ultimately, the applicant's security clearance was granted.
Why the applicant prevailed
- The applicant demonstrated a significant improvement in his financial situation by paying off or satisfying several debts.
- The applicant's financial difficulties were largely due to circumstances beyond his control, including medical emergencies and reduced income.
- The applicant has a reasonable plan to address remaining debts and has shown good faith efforts to resolve financial obligations.
Conditions referenced
- AG ¶ 19(a)raisedInability or Unwillingness to Satisfy Debts
- AG ¶ 19(c)raisedA History of Not Meeting Financial Obligations
- AG ¶ 20(b)appliedConditions 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 And/or There Are Clear Indications That the Problem Is Being Resolved or Is Under Control
- 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 issuedNov 4, 2016
- Answer filedDec 14, 2016Notarized response admitting most allegations.
- Hearing heldJun 10, 2016
- Decision dateMar 24, 2017
Cite for
- Mitigation of Financial Considerations Under Guideline F Due to Circumstances Beyond Control
- Good Faith Efforts to Resolve Debts
- Whole-person Concept in Evaluating Security Clearance Eligibility