ISCR Case 08-01722.h1

Case Headnote

ISCR Case No. 08-01722.h1

deniedMay 4, 2009· Hon. Paul J. Mason· hearing

Summary

The applicant, a 44-year-old technician for a defense contractor, faced security clearance denial due to financial considerations and personal conduct issues. Despite resolving most of her debts, the applicant intentionally omitted significant financial information on her security clearance application, leading to questions about her reliability and trustworthiness. The judge found the applicant's financial issues mitigated but ruled against her on personal conduct, resulting in a denial of her security clearance.

Under Guideline E (Personal Conduct) and Guideline F (Financial Considerations), the Statement of Reasons alleged the following: On August 24, 2007, Applicant completed a security clearance application (SCA). In response to question 27 requiring information about having liens placed against Applicant’s property in the last 7 years, she answered “No,” even though a lien was placed against her in December 2004 and one in April 2007 (2.a). Applicant also answered “No” to question 28A, requiring information about having any debts over 180 days delinquent in the last 7 years (2.b). $8,913, federal tax lien (1.a). $4,028, state tax lien (1.b). $6,429, judgment (1.c). $1,622, credit card (1.d). $1,578, medical account (1.e). $116, medical account (1.f). $583, medical account (1.g). $513, medical account (1.h). $127, medical account (1.i). $315, medical account (1.j). $453, medical account (1.k). $8,345, credit card (1.l).

The judge denied the clearance. The government raised disqualifying conditions PC DC ¶16.a. The judge applied mitigating conditions FC MC ¶20.d, FC MC ¶20.c, FC MC ¶20.a. The decision turned on the following: The applicant intentionally omitted significant financial information from her security clearance application; The applicant's lack of candor raised questions about her reliability and trustworthiness; The applicant provided no independent evidence of good character or job performance.

Why the Applicant Was Denied

The applicant intentionally omitted significant financial information from her security clearance application.
The applicant's lack of candor raised questions about her reliability and trustworthiness.
The applicant provided no independent evidence of good character or job performance.

Conditions Referenced

Disqualifying

PC DC ¶16.aappliedDeliberate Omission or Falsification of Relevant Facts

Mitigating

FC MC ¶20.dappliedGood-faith Effort to Repay Overdue Creditors
FC MC ¶20.cappliedReceived or Is Receiving Counseling for the Problem
FC MC ¶20.aappliedBehavior Unlikely to Recur

Key Rule Quoted

“A person who seeks access to classified information enters into a fiduciary relationship with the government predicated upon trust and confidence.”

Procedural Posture

SOR issuedApr 17, 2008
Answer filedMay 13, 2008
Hearing held—Decision made on the record in lieu of a hearing.
Decision dateMay 4, 2009

Cite For

Intentional Omission of Financial Information Under Guideline E
Mitigating Conditions for Financial Issues Under Guideline F
Impact of Personal Conduct on Security Clearance Eligibility

Editorial summary generated for research. Not legal advice; not a prediction. Verify against the full decision before relying on any quoted language.

¶	Allegation	Finding	Conduct	Concealed Issue	Response	Disqualifying (¶16)	Mitigating applied (¶17)	Mitigation
2.a	On August 24, 2007, Applicant completed a security clearance application (SCA). In response to question 27 requiring information about having liens placed against Applicant’s property in the last 7 years, she answered “No,” even though a lien was placed against her in December 2004 and one in April 2007.	Against Applicant	Omission or Failure to DiscloseFOUND DELIBERATE	Financial	Denied	(a) deliberate omission, concealment, or falsification on a security form	—	—
2.b	Applicant also answered “No” to question 28A, requiring information about having any debts over 180 days delinquent in the last 7 years.	Against Applicant	Omission or Failure to DiscloseFOUND DELIBERATE	Financial	Denied	(a) deliberate omission, concealment, or falsification on a security form	—	—

Allegation

Finding

Conduct

Concealed Issue

Response

Disqualifying (¶16)

Mitigating applied (¶17)

Mitigation

2.a

On August 24, 2007, Applicant completed a security clearance application (SCA). In response to question 27 requiring information about having liens placed against Applicant’s property in the last 7 years, she answered “No,” even though a lien was placed against her in December 2004 and one in April 2007.

Against Applicant

Omission or Failure to DiscloseFOUND DELIBERATE

Financial

Denied

(a) deliberate omission, concealment, or falsification on a security form

—

2.b

Applicant also answered “No” to question 28A, requiring information about having any debts over 180 days delinquent in the last 7 years.

Against Applicant

Omission or Failure to DiscloseFOUND DELIBERATE

Financial

Denied

(a) deliberate omission, concealment, or falsification on a security form

—

¶	Allegation	Finding	Type	Response	Disqualifying (¶19)	Mitigating applied (¶20)	Mitigation
1.a	$8,913, federal tax lien. $8,913	For Applicant	Tax Unpaid	Admitted	(a) inability to satisfy debts (c) a history of not meeting financial obligations	(d) good-faith effort to repay or otherwise resolve debts	Documented Debt Paid in Full
1.b	$4,028, state tax lien. $4,028	For Applicant	Tax Unpaid	Admitted	(a) inability to satisfy debts (c) a history of not meeting financial obligations	—	—
1.c	$6,429, judgment. $6,429	For Applicant	Judgment Against Applicant	Admitted	(a) inability to satisfy debts (c) a history of not meeting financial obligations	(d) good-faith effort to repay or otherwise resolve debts	Documented Debt Paid in Full
1.d	$1,622, credit card. $1,622	For Applicant	Credit Card Debt	Admitted	(a) inability to satisfy debts (c) a history of not meeting financial obligations	(d) good-faith effort to repay or otherwise resolve debts	Documented Debt Paid in Full
1.e	$1,578, medical account. $1,578	For Applicant	Medical Debt	Admitted	(a) inability to satisfy debts (c) a history of not meeting financial obligations	(d) good-faith effort to repay or otherwise resolve debts	Documented Debt Paid in Full
1.f	$116, medical account. $116	For Applicant	Medical Debt	Admitted	(a) inability to satisfy debts (c) a history of not meeting financial obligations	(d) good-faith effort to repay or otherwise resolve debts	Documented Debt Paid in Full
1.g	$583, medical account. $583	For Applicant	Medical Debt	Admitted	(a) inability to satisfy debts (c) a history of not meeting financial obligations	(d) good-faith effort to repay or otherwise resolve debts	Documented Debt Paid in Full
1.h	$513, medical account. $513	For Applicant	Medical Debt	Admitted	(a) inability to satisfy debts (c) a history of not meeting financial obligations	(d) good-faith effort to repay or otherwise resolve debts	Documented Debt Paid in Full
1.i	$127, medical account. $127	For Applicant	Medical Debt	Admitted	(a) inability to satisfy debts (c) a history of not meeting financial obligations	(d) good-faith effort to repay or otherwise resolve debts	Documented Debt Paid in Full
1.j	$315, medical account. $315	For Applicant	Medical Debt	Admitted	(a) inability to satisfy debts (c) a history of not meeting financial obligations	(d) good-faith effort to repay or otherwise resolve debts	Documented Debt Paid in Full
1.k	$453, medical account. $453	For Applicant	Medical Debt	Admitted	(a) inability to satisfy debts (c) a history of not meeting financial obligations	(d) good-faith effort to repay or otherwise resolve debts	Documented Debt Paid in Full
1.l	$8,345, credit card. $8,345	For Applicant	Credit Card Debt	Admitted	(a) inability to satisfy debts (c) a history of not meeting financial obligations	—	—
1.m	specific text not stated in this decision	For Applicant	Unspecified Financial	Unknown	—	—	—

Allegation

Finding

Type

Response

Disqualifying (¶19)

Mitigating applied (¶20)

Mitigation

1.a

$8,913, federal tax lien.

$8,913

For Applicant

Tax Unpaid

Admitted

(a) inability to satisfy debts

(c) a history of not meeting financial obligations

(d) good-faith effort to repay or otherwise resolve debts

Documented

Debt Paid in Full

1.b

$4,028, state tax lien.

$4,028

For Applicant

Tax Unpaid

Admitted

(a) inability to satisfy debts

(c) a history of not meeting financial obligations

—

1.c

$6,429, judgment.

$6,429

For Applicant

Judgment Against Applicant

Admitted

(a) inability to satisfy debts

(c) a history of not meeting financial obligations

(d) good-faith effort to repay or otherwise resolve debts

Documented

Debt Paid in Full

1.d

$1,622, credit card.

$1,622

For Applicant

Credit Card Debt

Admitted

(a) inability to satisfy debts

(c) a history of not meeting financial obligations

(d) good-faith effort to repay or otherwise resolve debts

Documented

Debt Paid in Full

1.e

$1,578, medical account.

$1,578

For Applicant

Medical Debt

Admitted

(a) inability to satisfy debts

(c) a history of not meeting financial obligations

(d) good-faith effort to repay or otherwise resolve debts

Documented

Debt Paid in Full

1.f

$116, medical account.

$116

For Applicant

Medical Debt

Admitted

(a) inability to satisfy debts

(c) a history of not meeting financial obligations

(d) good-faith effort to repay or otherwise resolve debts

Documented

Debt Paid in Full

1.g

$583, medical account.

$583

For Applicant

Medical Debt

Admitted

(a) inability to satisfy debts

(c) a history of not meeting financial obligations

(d) good-faith effort to repay or otherwise resolve debts

Documented

Debt Paid in Full

1.h

$513, medical account.

$513

For Applicant

Medical Debt

Admitted

(a) inability to satisfy debts

(c) a history of not meeting financial obligations

(d) good-faith effort to repay or otherwise resolve debts

Documented

Debt Paid in Full

1.i

$127, medical account.

$127

For Applicant

Medical Debt

Admitted

(a) inability to satisfy debts

(c) a history of not meeting financial obligations

(d) good-faith effort to repay or otherwise resolve debts

Documented

Debt Paid in Full

1.j

$315, medical account.

$315

For Applicant

Medical Debt

Admitted

(a) inability to satisfy debts

(c) a history of not meeting financial obligations

(d) good-faith effort to repay or otherwise resolve debts

Documented

Debt Paid in Full

1.k

$453, medical account.

$453

For Applicant

Medical Debt

Admitted

(a) inability to satisfy debts

(c) a history of not meeting financial obligations

(d) good-faith effort to repay or otherwise resolve debts

Documented

Debt Paid in Full

1.l

$8,345, credit card.

$8,345

For Applicant

Credit Card Debt

Admitted

(a) inability to satisfy debts

(c) a history of not meeting financial obligations

—

1.m

specific text not stated in this decision

For Applicant

Unspecified Financial

Unknown

—

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Case Profile

Summary

Why the Applicant Was Denied

Conditions Referenced

Key Rule Quoted

Procedural Posture

Cite For

Full decision

DEFENSE OFFICE OF HEARINGS AND APPEALS

HEARING

APPEARANCES

STATEMENT OF CASE

FINDINGS OF FACT

POLICIES

ANALYSIS

FORMAL FINDINGS

CONCLUSION

FOOTNOTES