Summary
A 52-year-old process analyst and Army reservist was denied a security clearance under Guideline F, Financial Considerations, due to unresolved financial issues. The Statement of Reasons cited multiple delinquent debts, including a $2,099 judgment filed in May 2006, a $1,126 collection account paid in April 2008, and a $400 collection account reported in December 2006. These issues raised disqualifying conditions under Adjudicative Guidelines paragraphs 19(a) and 19(c).
The applicant admitted to approximately $8,000 in delinquent debts. While some efforts were made to address these obligations, the judge determined that these attempts were insufficient and lacked diligence. The applicant also failed to provide evidence of a reasonable plan to resolve her outstanding financial obligations.
Despite the application of mitigating conditions under Adjudicative Guidelines paragraphs 20(a), 20(b), 20(c), 20(d), and 20(e), the judge concluded that the applicant did not adequately mitigate the security concerns. Consequently, the security clearance was denied.
Why the Applicant Was Denied
- Applicant admitted to multiple delinquent debts totaling approximately $8,000.
- Applicant's attempts to resolve debts were deemed insufficient and lacked diligence.
- The applicant failed to provide evidence of a reasonable plan to address her financial obligations.
Conditions Referenced
- AG ¶ 19(a)raisedInability or Unwillingness to Satisfy Debts
- AG ¶ 19(c)raisedA History of Not Meeting Financial Obligations
- AG ¶ 20(a)rejectedBehavior Happened so Long Ago, Was Infrequent, or Occurred Under Circumstances Unlikely to RecurApplicant's financial issues were ongoing and not resolved.
- AG ¶ 20(b)rejectedConditions That Resulted in the Financial Problem Were Largely Beyond the Person's ControlApplicant did not demonstrate that her financial issues were beyond her control.
- AG ¶ 20(c)rejectedReceived or Is Receiving Counseling for the ProblemInsufficient evidence of effective financial counseling or resolution.
- AG ¶ 20(d)rejectedInitiated a Good-faith Effort to Repay Overdue CreditorsApplicant's efforts were not deemed sufficient or timely.
- AG ¶ 20(e)appliedReasonable Basis to Dispute the Legitimacy of the Past-due DebtApplicant disputed one debt but did not provide sufficient documentation.
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 issuedFeb 25, 2008
- Answer filedFeb 25, 2008Applicant elected to proceed without a hearing.
- Hearing held—Decision made based on written record.
- Decision dateJul 10, 2008
Cite For
- Insufficient Evidence of Financial Responsibility Under Guideline F
- Failure to Mitigate Financial Concerns Despite Attempts
- Disqualifying Conditions Related to Financial Obligations