Summary
A 40-year-old registered nurse was denied a public trust position due to concerns under Guideline E (Personal Conduct) and Guideline F (Financial Considerations). The denial stemmed from approximately $57,000 in delinquent debts and attempts to conceal this information on her October 2014 security questionnaire.
The applicant's financial issues included two student loans totaling approximately $48,000, which she cosigned for her sister-in-law around 2004. Additionally, she had a delinquent credit card account, a retail charge account that became delinquent in December 2009, an account for cable equipment delinquent in June 2011, and three separate cell phone accounts that became delinquent in January 2014, May 2014, and December 2014, respectively.
The judge found that the applicant's claims of ignorance regarding her debts were not credible and that her evidence in mitigation did not sufficiently address the concerns raised by her financial conduct and her attempts to conceal the indebtedness. Consequently, eligibility for the public trust position was denied.
Why the Applicant Was Denied
- The applicant incurred close to $57,000 in debts between December 2008 and December 2014.
- She attempted to conceal her indebtedness in her security questionnaire.
- The applicant's evidence in mitigation did not meet her burden of persuasion under the guidelines for financial considerations and personal conduct.
Conditions Referenced
- AG ¶ 19(a)raisedInability to Satisfy Debts
- AG ¶ 19(b)raisedUnwillingness to Satisfy Debts Regardless of the Ability to Do So
- AG ¶ 19(c)raisedA History of Not Meeting Financial Obligations
- AG ¶ 19(e)raisedConsistent Spending Beyond One’s Means
- AG ¶ 20(b)appliedConditions That Resulted in the Financial Problem Were Largely Beyond the Person's ControlThe applicant's divorce and lack of child support contributed to her financial issues.
- AG ¶ 20(d)appliedGood-faith Effort to Repay Overdue Creditors or Resolve DebtsThe applicant resolved two of the debts listed in the SOR.
- AG ¶ 20(c)rejectedReceived Financial CounselingThe applicant did not provide evidence of receiving financial counseling.
Key Rule Quoted
“The protection of the public trust is the paramount consideration.”
Procedural Posture
- SOR issuedJun 29, 2016
- Answer filedJul 30, 2016
- Hearing heldApr 7, 2017
- Decision dateApr 21, 2017
Cite For
- Denial of Security Clearance Due to Significant Financial Issues Under Guideline F
- Credibility of Applicant's Claims Regarding Financial Knowledge and Responsibility
- Mitigation of Financial Issues Due to Personal Circumstances Under AG ¶ 20(b)