Summary
A 48-year-old single technical analyst was denied a security clearance under Guideline F (Financial Considerations) due to approximately $24,000 in delinquent debt. The Statement of Reasons (SOR) detailed multiple outstanding debts, including a significant federal income tax delinquency from 2013 totaling about $1,644.
While the applicant made some efforts to resolve specific debts, these were deemed insufficient. She satisfied two debts totaling $79 and $185, and settled a cell phone account for $443, paying it shortly after the hearing. She also negotiated a reduction on a satellite television bill from $737 to $258. However, she had not yet contacted creditors for two other alleged debts, was attempting to locate the current holder for another, and was unsuccessful in resolving a $1,024 telephone bill. Additionally, she claimed a settlement agreement for another debt but provided no evidence.
The denial was based on the remaining $22,500 in outstanding delinquent debt, which was considered substantial compared to the amounts resolved. The federal income tax delinquency was cited as a concern regarding adherence to regulations, and the recent debt resolution efforts were not enough to mitigate the overall financial concerns.
Why the Applicant Was Denied
- The applicant has approximately $22,500 of outstanding delinquent debt, which is significant compared to the amount resolved.
- The applicant's federal income tax delinquency indicates a potential inability to abide by established rules and regulations.
- The applicant's recent efforts to address her debts were deemed insufficient given the overall financial situation.
Conditions Referenced
- AG ¶ 19(a)raisedInability or Unwillingness to Satisfy Debts
- AG ¶ 19(c)raisedA History of Not Meeting Financial Obligations
- AG ¶ 20(b)appliedConditions That Resulted in the Financial Problem Were Largely Beyond the Person’s ControlThe applicant's financial issues stemmed from personal circumstances, including family-related challenges.
- AG ¶ 20(c)rejectedThe Person Has Received or Is Receiving Counseling for the ProblemThe applicant's recent scheduling of a credit counseling appointment was not sufficient to demonstrate resolution of financial issues.
- AG ¶ 20(d)appliedThe Individual Initiated a Good-faith Effort to Repay Overdue CreditorsThe applicant satisfied some debts, indicating a willingness to address her financial obligations.
Key Rule Quoted
“The awarding of a security clearance is not a once in a lifetime occurrence, but is based on applying the factors, both disqualifying and mitigating, as set forth in the Directive, to the evidence presented.”
Procedural Posture
- SOR issuedAug 15, 2016
- Answer filedSep 29, 2016
- Hearing heldMar 6, 2017
- Decision dateJun 1, 2017
Cite For
- Denial of Security Clearance Due to Significant Outstanding Debt Under Guideline F
- Insufficient Mitigation of Financial Concerns Despite Recent Efforts
- Impact of Federal Income Tax Delinquency on Security Clearance Eligibility