Summary
A 47-year-old single mother was denied a security clearance under Guideline F (Financial Considerations) due to a history of financial irresponsibility. The Statement of Reasons cited her failure to file federal and state tax returns from 2009 to 2014, along with over $9,000 in unresolved delinquent debts. Specifically, she had five delinquent medical debts totaling $7,827 and a $1,210 debt from a broken lease with an apartment complex.
Disqualifying conditions F.19(a), F.19(c), and F.19(g) were raised, indicating a pattern of financial problems, an inability to satisfy debts, and a history of not meeting financial obligations. While mitigating conditions F.20(b), F.20(c), and F.20(d) were considered, the judge found them insufficient.
The denial was based on the applicant's failure to file federal tax returns for 2013 and 2014, and state tax returns for multiple years, as well as her unresolved medical and rental debts. The judge concluded that the applicant had not demonstrated a consistent record of compliance with tax laws or other financial obligations, raising significant concerns about her reliability and judgment.
Why the applicant was denied
- The applicant failed to file federal tax returns for 2013 and 2014, and state tax returns for multiple years.
- The applicant has unresolved delinquent debts, including medical bills and a rental debt.
- The applicant did not demonstrate a consistent record of compliance with tax laws or financial obligations.
Conditions referenced
- F.19(a)raisedInability or Unwillingness to Satisfy Debts
- F.19(c)raisedA History of Not Meeting Financial Obligations
- F.19(g)raisedFailure to File Annual Federal, State, or Local Income Tax Returns as Required
- F.20(b)rejectedConditions That Resulted in the Financial Problem Were Largely Beyond the Person's ControlThe applicant's failure to file subsequent tax returns was not shown to be due to circumstances beyond her control.
- F.20(c)rejectedThe Person Has Received or Is Receiving Counseling for the ProblemThe applicant has not engaged in recent financial counseling.
- F.20(d)rejectedThe Individual Initiated a Good-faith Effort to Repay Overdue Creditors or Otherwise Resolve DebtsThe applicant did not provide evidence of consistent efforts to resolve her debts.
Key rule quoted
“Failure to file tax returns suggests that an applicant has a problem with complying with well-established government rules and systems.”
Procedural posture
- SOR issuedMay 3, 2016
- Answer filedMay 19, 2016
- Hearing heldDec 7, 2016
- Decision dateApr 14, 2017
Cite for
- Denial of Security Clearance Due to Unresolved Financial Obligations
- Failure to File Tax Returns as a Significant Concern Under Guideline F
- Insufficient Evidence of Mitigation in Financial Security Cases