Summary
The applicant, a Department of Defense contractor with a bachelor's degree, faced security concerns under Guideline F due to six delinquent debts primarily stemming from financial difficulties related to his divorce. The judge found that the applicant had made significant efforts to resolve his debts and demonstrated responsible financial behavior, ultimately granting his security clearance.
Under Guideline F (Financial Considerations), the Statement of Reasons alleged the following: $3,545 judgment entered against Applicant in December 2011 for a charged-off store credit card account (1.a). $1,367 charged-off account store credit card account (1.b). $4,040 charged-off bank credit card account (1.c). $3,258 charged-off bank credit card account (1.d). $1,995 charged-off store credit card account (1.e).
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: Applicant admitted the SOR allegations but demonstrated a commitment to resolving his financial issues; Most delinquent debts were settled or resolved, showing a pattern of responsible financial management; The applicant's financial difficulties were largely due to circumstances beyond his control, specifically his divorce.
Why the Applicant Prevailed
- Applicant admitted the SOR allegations but demonstrated a commitment to resolving his financial issues.
- Most delinquent debts were settled or resolved, showing a pattern of responsible financial management.
- The applicant's financial difficulties were largely due to circumstances beyond his control, specifically his divorce.
Conditions Referenced
- AG ¶ 19(a)raisedInability or Unwillingness to Satisfy Debts
- AG ¶ 19(c)raisedHistory of Not Meeting Financial Obligations
- AG ¶ 20(a)appliedBehavior Happened Long Ago or Infrequently
- AG ¶ 20(b)appliedConditions Largely Beyond the Person's Control
- AG ¶ 20(c)appliedReceived Counseling or Indications of Resolution
- AG ¶ 20(d)appliedGood-faith Effort to Repay or Resolve Debts
Key Rule Quoted
“An applicant is not required to be debt free, but is required to manage their finances in such a way as to meet their financial obligations.”
Procedural Posture
- SOR issuedFeb 19, 2016
- Answer filedMar 21, 2016
- Hearing heldAug 23, 2016
- Decision dateOct 28, 2016
Cite For
- Mitigating Conditions Under Guideline F for Financial Considerations
- Demonstrating a Good-faith Effort to Resolve Debts
- Impact of Personal Circumstances on Financial Obligations