Summary
A 44-year-old male applicant with a military background and multiple dependents was granted a security clearance despite concerns under Guideline E (Personal Conduct) and Guideline F (Financial Considerations). The government alleged the applicant deliberately falsified answers to questions 27(b), 28(a), and 28(b) on his 2008 security clearance application. Financial concerns included a Chapter 7 bankruptcy discharged in 1995 and a Chapter 13 bankruptcy filed in 2002. Other debts involved a deficiency balance from a repossessed automobile, which was settled, and a school debt for which a $50 monthly payment plan was established. An automobile loan was settled for $5,000, with the final $2,500 installment paid on August 1, 2008.
The judge found that the applicant had taken responsible steps to manage his finances. He demonstrated responsible financial management by paying off debts and maintaining a payment plan for remaining obligations. His financial difficulties were largely due to circumstances beyond his control, such as job loss and family responsibilities.
Crucially, the judge determined the applicant did not intentionally falsify his security clearance application, as he had disclosed relevant financial issues. Consequently, the applicant's request for a security clearance was granted.
Why the Applicant Prevailed
- The applicant demonstrated responsible financial management by paying off debts and maintaining a payment plan for remaining obligations.
- The applicant's financial difficulties were largely due to circumstances beyond his control, including job loss and family responsibilities.
- The applicant did not intentionally falsify his security clearance application, as he disclosed relevant financial issues.
Conditions Referenced
- AG ¶ 19araisedInability or Unwillingness to Satisfy Debts
- AG ¶ 19craisedA History of Not Meeting Financial Obligations
- AG ¶ 20bappliedThe Conditions That Resulted in the Financial Problem Were Largely Beyond the Person's Control
- AG ¶ 20cappliedThe 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 ¶ 20dappliedThe Individual Initiated a Good-faith Effort to Repay Overdue Creditors or Otherwise Resolve Debts
Key Rule Quoted
“A security clearance decision is intended only to resolve the questions of 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 issuedJul 30, 2008
- Answer filedSep 25, 2008
- Hearing heldApr 24, 2009
- Decision dateJun 26, 2009
Cite For
- Mitigation of Financial Difficulties Under Guideline F Due to Circumstances Beyond Control
- Non-intentional Falsification of Security Clearance Application Under Guideline E
- Responsible Financial Management and Efforts to Repay Debts as Mitigating Factors