Summary
A 36-year-old defense contractor, without a prior security clearance, was denied a security clearance due to financial considerations under Guideline F. The applicant faced allegations concerning approximately $39,901 in unresolved financial issues. These included a charged-off credit card account for $2,650, a credit card collection account for $450, a student loan collection account for $31,277, a past-due credit card debt of $886, and two consumer collection accounts for $1,078 and $301 respectively.
Disqualifying conditions F.1.a and F.1.c were raised, indicating a history of not meeting financial obligations and an inability or unwillingness to satisfy debts. While mitigating conditions F.2.a, F.2.b, F.2.c, and F.2.d were considered, they were not sufficient to overcome the security concerns.
The denial was based on the applicant's unresolved delinquent debts totaling approximately $39,901. Furthermore, the applicant failed to provide evidence of a budget or participation in financial counseling. The financial issues were recent and not mitigated by demonstrated efforts to resolve them, leading to the final decision to deny the security clearance.
Why the Applicant Was Denied
- Applicant has unresolved delinquent debts totaling approximately $39,901.
- Applicant did not provide evidence of a budget or financial counseling.
- Applicant's financial issues were recent and not mitigated by any demonstrated efforts to resolve them.
Conditions Referenced
- F.1.araisedInability or Unwillingness to Satisfy Debts
- F.1.craisedA History of Not Meeting Financial Obligations
- F.2.arejectedThe Behavior Happened so Long Ago, Was so Infrequent, or Occurred Under Such Circumstances That It Is Unlikely to Recur
- F.2.brejectedThe Conditions That Resulted in the Financial Problem Were Largely Beyond the Person’s Control
- F.2.crejectedThe Person Has Received or Is Receiving Counseling for the Problem
- F.2.dappliedThe Individual Initiated a Good-faith Effort to Repay Overdue Creditors or Otherwise Resolve DebtsApplicant made some payments towards debts but did not establish a consistent repayment plan.
Key Rule Quoted
“A person who seeks access to classified information enters into a fiduciary relationship with the Government predicated upon trust and confidence.”
Procedural Posture
- SOR issuedOct 27, 2015
- Answer filedNov 30, 2015Applicant elected to have the case decided on the written record.
- Hearing held—No hearing; decision made on the written record.
- Decision dateNov 18, 2016
Cite For
- Unresolved Financial Obligations Under Guideline F
- Lack of Evidence for Financial Stability
- Insufficient Mitigation of Financial Concerns