Summary
A 45-year-old single man, employed as a senior technical support engineer, was denied a security clearance under Guideline F (Financial Considerations) due to significant outstanding debts and delinquent federal income taxes. The Statement of Reasons detailed two federal tax liens from April 2004 and September 2005, totaling $31,735, with no reported payments. Additionally, the applicant had seven delinquent accounts, totaling $120,212, which were either past due or submitted for collection.
While the applicant did take some steps to address his financial issues, including retaining an attorney in mid-2005, satisfying an $8,118 state tax lien from March 2004, and resolving a $6,840 account before May 2007, these efforts were deemed insufficient.
The denial was based on the applicant's failure to make payments toward the federal tax liens and the $120,212 in delinquent accounts. The decision concluded that the applicant's financial problems were largely self-created, and he had not demonstrated that his financial issues were under control, nor had he overcome the case against him.
Why the Applicant Was Denied
- Applicant has not made payments toward federal tax liens totaling $31,735, which remain outstanding.
- Applicant has seven delinquent accounts totaling $120,212, with no evidence of payments made toward these debts.
- The applicant's financial problems were largely self-created, and he failed to demonstrate that his financial issues are under control.
Conditions Referenced
- DC 19(a)raisedInability or Unwillingness to Satisfy Debts
- DC 19(c)raisedA History of Not Meeting Financial Obligations
- MC 20(d)appliedThe Individual Initiated a Good-faith Effort to Repay Overdue Creditors or Otherwise Resolve DebtsApplicant satisfied a state tax lien and another delinquent creditor.
- MC 20(b)rejectedThe Conditions That Resulted in the Financial Problem Were Largely Beyond the Person's ControlApplicant's financial problems were largely self-created.
- MC 20(c)rejectedThe Person Has Received or Is Receiving Counseling for the Problem And/or There Are Clear Indications That the Problem Is Being Resolved or Is Under ControlThere is no evidence that the applicant's financial problems are under control.
Key Rule Quoted
“The sole purpose of a security clearance decision is to decide if it is clearly consistent with the national interest to grant or continue a security clearance for an applicant.”
Procedural Posture
- SOR issuedApr 15, 2008
- Answer filedMay 7, 2008Applicant requested a decision based on the written record.
- Hearing held—No hearing; decision based on written record.
- Decision dateSep 19, 2008
Cite For
- Failure to Mitigate Financial Considerations Under Guideline F
- Impact of Unresolved Tax Liens on Security Clearance Eligibility
- Insufficient Evidence of Financial Stability Despite Some Debt Repayment Efforts