Summary
The applicant, a 49-year-old project manager, faced trustworthiness concerns under Guideline F due to financial issues stemming from a divorce. She successfully mitigated these concerns by demonstrating a history of responsible financial behavior and satisfying most of her delinquent debts, while entering into a repayment agreement for her remaining tax obligations. The judge found that her financial difficulties were largely situational and unlikely to recur, leading to a favorable decision.
Under Guideline F (Financial Considerations), the Statement of Reasons alleged the following: a delinquent credit card debt owing in the amount of $45,424 that was charged off as a bad debt (1.a). a credit card debt owing in the amount of $9,676 that was charged off as a bad debt (1.b). another credit card debt owing in the amount of $22,863 that was charged off as a bad debt (1.c). another credit card debt owing in the amount of $8,104 (1.d). unpaid federal income taxes, penalties and interest for the tax year ending December 31, 2005, owing in the amount of $20,564 (1.e).
The judge granted the clearance. The government raised disqualifying conditions DC 19(a), DC 19(c). The judge applied mitigating conditions MC 20(a), MC 20(b), MC 20(d). The decision turned on the following: Applicant satisfied most of her delinquent creditors and is making payments under a repayment agreement with the IRS; Financial problems were attributed to a divorce, which were largely beyond her control; Applicant demonstrated a long history of responsible financial behavior and timely bill payments.
Why the Applicant Prevailed
- Applicant satisfied most of her delinquent creditors and is making payments under a repayment agreement with the IRS.
- Financial problems were attributed to a divorce, which were largely beyond her control.
- Applicant demonstrated a long history of responsible financial behavior and timely bill payments.
Conditions Referenced
- DC 19(a)raisedInability or Unwillingness to Satisfy Debts
- DC 19(c)raisedA History of Not Meeting Financial Obligations
- MC 20(a)appliedThe Behavior Happened so Long Ago, Was so Infrequent, or Occurred Under Such Circumstances That It Is Unlikely to Recur
- MC 20(b)appliedThe Conditions That Resulted in the Financial Problems Were Largely Beyond the Person’s Control
- MC 20(d)appliedThe Individual Initiated a Good-faith Effort to Repay Overdue Creditors or Otherwise Resolve Debts
Key Rule Quoted
“The objective of a trustworthiness determination is the fair-minded, commonsense assessment of a person’s trustworthiness and fitness for access to sensitive information.”
Procedural Posture
- SOR issuedOct 17, 2008
- Answer filedNov 12, 2008
- Hearing heldFeb 12, 2009rescheduled from January 15, 2009
- Decision dateMar 23, 2009
Cite For
- Mitigation of Financial Issues Due to Divorce Under Guideline F
- Demonstrating Good-faith Efforts to Resolve Debts
- Consideration of the Whole Person Concept in Trustworthiness Determinations