Summary
A 59-year-old computer programmer was denied a security clearance under Guideline J (Criminal Conduct) due to a felony embezzlement conviction. The applicant, while serving as executor of a deceased relative's estate, diverted approximately $398,000 in estate assets to his personal business. He was charged with four counts of felony embezzlement on March 3, 2006, and subsequently pleaded nolo contendere to one count of felony embezzlement.
The applicant was sentenced to probation, which is ongoing until 2028. The denial was based on the felony conviction, the current probationary status, and the significant breach of trust demonstrated by his actions as executor. Disqualifying conditions under Guideline J, specifically paragraphs 31(a), 31(c), 31(d), and 31(e), were raised.
While mitigating conditions 32(a), 32(b), and 32(d) were applied, the applicant failed to demonstrate sufficient rehabilitation or a clear understanding of his fiduciary responsibilities. Concerns regarding his judgment and reliability remained, leading to the denial of his security clearance.
Why the Applicant Was Denied
- The applicant was convicted of felony embezzlement for diverting approximately $398,000 from an estate to his personal business.
- He is currently on probation until 2028 for the felony conviction, raising concerns about his judgment and reliability.
- The applicant's actions as executor of the estate demonstrated a significant breach of trust.
Conditions Referenced
- AG ¶ 31(a)raisedCriminal Conduct
- AG ¶ 31(c)raisedAllegation or Admission of Criminal Conduct
- AG ¶ 31(d)raisedCurrently on Parole or Probation
- AG ¶ 31(e)raisedViolation of Parole or Probation
- AG ¶ 32(a)rejectedTime Elapsed Since Criminal BehaviorThe criminal conduct is too recent and serious to apply this condition.
- AG ¶ 32(b)rejectedCoercion or Pressure Into Committing the ActThe applicant's financial situation has improved, and he acted knowingly.
- AG ¶ 32(d)rejectedEvidence of Successful RehabilitationThe applicant has not demonstrated successful rehabilitation given his ongoing probation and recent incidents.
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 issuedNov 5, 2008
- Answer filedNov 17, 2008
- Hearing heldFeb 19, 2009
- Decision dateApr 28, 2009
Cite For
- Criminal Conduct and Fiduciary Responsibilities Under Guideline J
- Impact of Felony Convictions on Security Clearance Eligibility
- Consideration of Rehabilitation and Ongoing Probation in Security Clearance Decisions