Summary
A 40-year-old defense contractor employee was denied a security clearance due to financial considerations under Guideline F. The applicant faced concerns stemming from 23 delinquent debts, totaling approximately $69,952. These debts included student loans, various consumer and credit card accounts, utility bills, medical accounts, and multiple state and federal tax liens.
The Statement of Reasons detailed specific allegations, such as a $7,090 student loan, a $2,848 consumer debt, and a federal tax lien for $24,565, among others. Disqualifying conditions under Adjudicative Guidelines Paragraphs 19(a) and 19(c) were raised. While mitigating conditions under Paragraphs 20(c), 20(d), and 20(e) were considered, they were not sufficient to overcome the concerns.
The denial was based on the applicant's failure to demonstrate consistent efforts to resolve his financial obligations. Despite acknowledging his financial issues and providing some evidence of payment for one debt, he did not present a repayment plan or evidence of financial counseling. The judge concluded that the applicant's financial problems were not under control, and he did not show good-faith efforts to resolve his debts, leading to the denial of his security clearance.
Why the Applicant Was Denied
- The applicant had 23 delinquent debts totaling approximately $69,952, indicating a lack of financial responsibility.
- He failed to provide evidence of a repayment plan or financial counseling for his debts.
- The applicant's financial problems were not under control, and he did not demonstrate good-faith efforts to resolve his debts.
Conditions Referenced
- AG ¶ 19(a)raisedInability or Unwillingness to Satisfy Debts
- AG ¶ 19(c)raisedA History of Not Meeting Financial Obligations
- AG ¶ 20(c)rejectedThe Person Has Received or Is Receiving Counseling for the ProblemThe applicant has not sought financial counseling.
- AG ¶ 20(d)rejectedThe Individual Initiated a Good-faith Effort to Repay Overdue Creditors or Otherwise Resolve DebtsThe applicant failed to demonstrate good-faith efforts to resolve the majority of his debts.
- AG ¶ 20(e)appliedThe Individual Has a Reasonable Basis to Dispute the Legitimacy of the Past-due DebtThe applicant provided evidence of payment for one debt but failed to document payments for others.
Key Rule Quoted
“Any doubt concerning personnel being considered for access to classified information will be resolved in favor of national security.”
Procedural Posture
- SOR issuedNov 2, 2015
- Answer filedDec 2, 2015
- Hearing heldJun 13, 2016
- Decision dateNov 17, 2016
Cite For
- Denial of Security Clearance Due to Unresolved Financial Obligations
- Lack of Evidence for Financial Counseling and Debt Management
- Failure to Demonstrate Good-faith Efforts to Resolve Debts