Summary
A 37-year-old truck driver for a Federal contractor was denied a security clearance under Guideline F, Financial Considerations. The denial stemmed from a history of failing to file and pay Federal income taxes for multiple years. Specifically, the applicant failed to file tax returns for 2011 and 2012, resulting in an estimated $9,000 owed for each year.
Disqualifying conditions F.1.a (inability to satisfy debts), F.1.c (unwillingness to satisfy debts), and F.1.g (financial problems caused by irresponsible choices) were raised. While mitigating conditions F.2.a, F.2.b, F.2.c, F.2.d, and F.2.e were considered, they were not sufficient to overcome the concerns.
The denial was based on the applicant's lengthy history of failing to file or pay Federal income taxes, a lack of evidence for effective financial counseling or budgetary actions, and the extensive, ongoing nature of his financial problems, which arose from voluntary choices to disregard lawful obligations.
Why the Applicant Was Denied
- The applicant has a lengthy history of failing to file or pay Federal income taxes.
- He provided no evidence of effective financial counseling or budgetary actions to improve his financial responsibility.
- The applicant's financial problems are extensive, ongoing, and arose from voluntary choices to disregard lawful obligations.
Conditions Referenced
- F.1.araisedInability or Unwillingness to Satisfy Debts
- F.1.craisedHistory of Not Meeting Financial Obligations
- F.1.graisedFailure to File Federal, State, or Local Income Tax Returns as Required
- F.2.arejectedBehavior Happened so Long Ago, Was so Infrequent, or Occurred Under Such Circumstances That It Is Unlikely to Recur
- F.2.brejectedConditions That Resulted in the Financial Problem Were Largely Beyond the Person’s Control
- F.2.crejectedReceived or Is Receiving Counseling for the Problem
- F.2.drejectedInitiated a Good-faith Effort to Repay Overdue Creditors
- F.2.erejectedHas a Reasonable Basis to Dispute the Legitimacy of the Past-due Debt
Key Rule Quoted
“Failure or inability to live within one’s means, satisfy debts, and meet financial obligations may indicate poor self-control, lack of judgment, or unwillingness to abide by rules and regulations, all of which can raise questions about an individual’s reliability, trustworthiness and ability to protect classified information.”
Procedural Posture
- SOR issuedMar 2, 2016
- Answer filedMar 30, 2016
- Hearing heldDec 5, 2016
- Decision dateMar 31, 2017
Cite For
- Denial Based on Extensive Financial Irresponsibility Under Guideline F
- Failure to Provide Evidence of Effective Financial Management
- Ongoing Tax Issues as a Disqualifying Factor for Security Clearance