Summary
A 66-year-old retired Army Sergeant First Class and defense contractor was granted a security clearance despite initial concerns under Guideline E (Personal Conduct) and Guideline F (Financial Considerations). The Statement of Reasons cited two delinquent debts: one for $13,581 owed to a collection company on behalf of a credit card company, and another for $3,099 owed to a credit union. Additionally, the applicant had omitted information from his Questionnaire for National Security Positions, though this was determined to be an unintentional error rather than a deliberate omission.
The applicant successfully mitigated these concerns by demonstrating that the debts arose under unusual circumstances. One debt was incurred by a former spouse without the applicant's knowledge. He also showed a good-faith effort to resolve his financial obligations, including making payments and settling accounts.
The decision to grant the clearance was based on the applicant's stable financial situation, with no other outstanding debts and a clean credit report, along with his proactive steps to address the past issues.
Why the Applicant Prevailed
- The applicant demonstrated a good-faith effort to resolve his debts, including making payments and settling accounts.
- The debts were incurred under unusual circumstances, including one debt being incurred by a former spouse without the applicant's knowledge.
- The applicant's financial situation is now stable, with no other outstanding debts and a clean credit report.
Conditions Referenced
- AG ¶ 19(a)raisedInability or Unwillingness to Satisfy DebtsThe applicant had two delinquent debts.
- AG ¶ 19(c)raisedA History of Not Meeting Financial ObligationsThe applicant had two delinquent debts.
- AG ¶ 20(a)appliedBehavior Happened so Long Ago, Was Infrequent, or Occurred Under Circumstances Unlikely to RecurThe debts were infrequent and occurred under unusual circumstances.
- AG ¶ 20(b)appliedConditions That Resulted in the Financial Problem Were Largely Beyond the Person's ControlOne debt was incurred by the applicant's former spouse without his knowledge.
- AG ¶ 20(d)appliedIndividual Initiated a Good-faith Effort to Repay Overdue CreditorsThe applicant made payments and settled debts as soon as he became aware of them.
- AG ¶ 20(c)appliedReceived Counseling for the Problem or Indications That the Problem Is Being ResolvedThe applicant's financial situation is now stable with no outstanding debts.
Key Rule Quoted
“The protection of the national security is the paramount consideration.”
Procedural Posture
- SOR issuedJun 18, 2008
- Answer filedJul 14, 2008
- Hearing heldOct 23, 2008via video teleconference
- Decision dateNov 17, 2008
Cite For
- Mitigation of Financial Concerns Under Guideline F Due to Unusual Circumstances
- Good-faith Efforts to Resolve Debts as a Mitigating Factor
- Consideration of the Whole Person Concept in Security Clearance Decisions