Summary
A 30-year-old defense contractor employee was granted a security clearance despite initial concerns under Guideline E (Personal Conduct) and Guideline F (Financial Considerations). The Statement of Reasons alleged that the applicant owed approximately $51,904 on a foreclosed $259,543 mortgage and failed to candidly answer financial interrogatories or provide a complete personal financial statement. These allegations raised disqualifying conditions under Adjudicative Guideline (AG) ¶ 19(a) and AG ¶ 19(c).
However, the judge found that the applicant successfully mitigated these concerns. She demonstrated that the disputed mortgage debt was incurred by her mother without her knowledge or consent. The applicant also provided credible evidence of her financial stability and responsible credit management, and was proactive and transparent in addressing the adverse information throughout the investigation.
The judge applied mitigating conditions under AG ¶ 20(c), AG ¶ 20(d), and AG ¶ 20(e), concluding that the applicant had been candid about her financial situation. Consequently, the security clearance was granted.
Why the Applicant Prevailed
- The applicant demonstrated that the disputed debt was incurred without her knowledge or consent.
- She provided credible evidence of her financial stability and responsible credit management.
- The applicant was proactive in addressing the adverse information and maintained transparency throughout the investigation.
Conditions Referenced
- AG ¶ 19(a)raisedInability or Unwillingness to Satisfy Debts
- AG ¶ 19(c)raisedA History of Not Meeting Financial Obligations
- AG ¶ 20(c)appliedThe 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 Control
- AG ¶ 20(d)appliedThe Individual Initiated a Good-faith Effort to Repay Overdue Creditors or Otherwise Resolve Debts
- AG ¶ 20(e)appliedThe Individual Has a Reasonable Basis to Dispute the Legitimacy of the Past-due Debt Which Is the Cause of the Problem and Provides Documented Proof to Substantiate the Basis of the Dispute or Provides Evidence of Actions to Resolve the Issue
Key Rule Quoted
“A security clearance decision is intended to resolve whether it is clearly consistent with the national interest for an applicant to either receive or continue to have access to classified information.”
Procedural Posture
- SOR issuedAug 12, 2008
- Answer filed—Applicant responded timely to the SOR.
- Hearing heldDec 17, 2008
- Decision dateFeb 9, 2009
Cite For
- Mitigation of Financial Concerns Due to Third-party Actions Under Guideline F
- Candidness in Financial Disclosures as a Mitigating Factor Under Guideline E
- The Importance of the Whole Person Concept in Security Clearance Determinations