Summary
A 57-year-old veteran and aircraft mechanic was denied a security clearance under Guideline F (Financial Considerations) due to a history of financial irresponsibility. The Statement of Reasons detailed several significant financial issues, including a federal tax lien for $41,108 and a delinquent automobile loan charged off in September 2011 for $10,087.
Additional concerns included past-due payments on a time-share property totaling $3,932, a delinquent credit card account of $1,302 from April 2011, and two delinquent telephone bills from September and October 2014 for $449 and $174, respectively. A medical bill for $166 also went to collection.
Despite some evidence of debt repayment, the judge found that the applicant failed to file federal income tax returns for multiple years, demonstrating poor judgment. The numerous delinquent debts were not resolved promptly, indicating a lack of responsibility. The applicant also did not provide evidence of financial counseling or that his financial issues were under control, leading to the denial of his security clearance.
Why the Applicant Was Denied
- The applicant failed to file federal income tax returns for multiple years, indicating poor judgment and reliability.
- Numerous delinquent debts were not resolved in a timely manner, reflecting a lack of responsibility.
- The applicant did not provide evidence of financial counseling or that his financial issues were under control.
Conditions Referenced
- AG ¶ 19(a)raisedInability or Unwillingness to Satisfy Debts
- AG ¶ 19(c)raisedA History of Not Meeting Financial Obligations
- AG ¶ 19(g)raisedFailure to File Annual Federal, State, or Local Income Tax Returns as Required
- AG ¶ 20(a)rejectedBehavior Happened so Long Ago, Was Infrequent, or Unlikely to RecurThe applicant's delinquent debts are numerous and recent.
- AG ¶ 20(b)rejectedConditions Beyond the Person's ControlWhile marital breakups were beyond his control, the applicant did not act responsibly regarding his debts.
- AG ¶ 20(c)rejectedReceived or Receiving Counseling for the ProblemNo evidence of financial counseling was provided.
- AG ¶ 20(d)rejectedInitiated a Good-faith Effort to Repay Overdue CreditorsPayments made were prompted by garnishment and not voluntary action.
- AG ¶ 20(e)rejectedReasonable Basis to Dispute the Legitimacy of the DebtThe applicant did not provide evidence to substantiate his dispute of the medical debt.
Key Rule Quoted
“Eligibility for a security clearance is predicated upon the applicant meeting the criteria contained in the adjudicative guidelines.”
Procedural Posture
- SOR issuedMar 18, 2016
- Answer filedApr 18, 2016
- Hearing held—Decision made on the record without a hearing.
- Decision dateMar 9, 2017
Cite For
- Failure to File Tax Returns as a Disqualifying Condition Under Guideline F
- Lack of Evidence for Financial Responsibility and Mitigation
- Importance of Timely Resolution of Debts in Security Clearance Determinations