Summary
The applicant, a 35-year-old sheet metal worker, faced security concerns under Guideline F (Financial Considerations) due to numerous delinquent debts and a history of financial irresponsibility. Despite some efforts to resolve certain debts, the applicant failed to demonstrate sufficient financial stability or control, leading to the denial of his security clearance application.
Under Guideline F (Financial Considerations), the Statement of Reasons alleged the following: failed to file his federal income tax return for 2012 (1.a). federal tax debt for tax year 2012 ($7,951) (1.b). judgment filed in May 2014 for unpaid rent ($1,000) (1.c). judgment filed in January 2014 ($715) (1.d). medical bills placed for collection ($76) (1.e). medical bills placed for collection ($103) (1.f). medical bills placed for collection ($1,194) (1.g). medical bills placed for collection ($102) (1.h). utility bill placed for collection ($449) (1.i). cellphone bill placed for collection ($1,101) (1.j). credit-card account placed for collection ($768) (1.k). cable and internet bill placed for collection ($944) (1.l). unsecured loan placed for collection ($697) (1.m). fitness center bill placed for collection ($480) (1.n). cable bill placed for collection ($457) (1.o).
The judge denied the clearance. The government raised disqualifying conditions AG ¶ 19(a), AG ¶ 19(c). The judge applied mitigating conditions AG ¶ 20(d), AG ¶ 20(b), AG ¶ 20(a), AG ¶ 20(c), AG ¶ 20(e). The decision turned on the following: The applicant has numerous delinquent debts, indicating an inability or unwillingness to satisfy financial obligations; The applicant did not establish sufficient mitigating conditions to alleviate the financial concerns raised by the government; The applicant's financial situation is not under control, and he has not sought financial counseling.
Why the Applicant Was Denied
- The applicant has numerous delinquent debts, indicating an inability or unwillingness to satisfy financial obligations.
- The applicant did not establish sufficient mitigating conditions to alleviate the financial concerns raised by the government.
- The applicant's financial situation is not under control, and he has not sought financial counseling.
Conditions Referenced
- AG ¶ 19(a)appliedInability or Unwillingness to Satisfy Debts
- AG ¶ 19(c)appliedA History of Not Meeting Financial Obligations
- AG ¶ 20(d)appliedThe Individual Initiated a Good-faith Effort to Repay Overdue Creditors or Otherwise Resolve DebtsThe applicant made efforts to resolve the judgment for unpaid rent and the cellphone bill.
- AG ¶ 20(b)rejectedConditions That Resulted in the Financial Problem Were Largely Beyond the Person's ControlWhile some conditions were beyond the applicant's control, he did not act responsibly regarding most debts.
- AG ¶ 20(a)rejectedBehavior Happened so Long Ago, Was so Infrequent, or Occurred Under Such Circumstances That It Is Unlikely to RecurThe applicant's delinquent debts are numerous and recent.
- AG ¶ 20(c)rejectedThe 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 ControlThe applicant has not sought or received financial counseling.
- AG ¶ 20(e)rejectedThe Individual Has a Reasonable Basis to Dispute the Legitimacy of the Past-due DebtThe applicant did not dispute the majority of the debts alleged in the SOR.
Key Rule Quoted
“Eligibility for a security clearance is predicated upon the applicant meeting the criteria contained in the AG.”
Procedural Posture
- SOR issuedFeb 29, 2016
- Answer filedMar 26, 2016
- Hearing heldAug 17, 2016
- Decision dateOct 14, 2016
Cite For
- Financial Irresponsibility Under Guideline F
- Criteria for Establishing Disqualifying Conditions
- Evaluation of Mitigating Conditions in Financial Cases