Summary
The applicant, a 69-year-old security guard, faced security clearance denial under Guideline F due to significant financial issues, including six delinquent debts totaling over $21,000. Despite some efforts to settle debts, the applicant's overall financial management was deemed inadequate, raising concerns about reliability and trustworthiness.
Under Guideline F (Financial Considerations), the Statement of Reasons alleged the following: A judgment was entered against Applicant in November 2007 for $1,616 (1.a). Delinquent credit card account totaling $3,000 (1.b). Settled a credit card debt for $1,000 (1.c). Auto loan account that was paid off in February 2009 (1.d). Delinquent credit card account totaling $5,000 (1.e). State tax lien totaling $10,584 filed in April 1998 (1.f).
The judge denied the clearance. The government raised disqualifying conditions AG ¶ 19(a), AG ¶ 19(c), AG ¶ 19(e). The judge applied mitigating conditions AG ¶ 20(d). The decision turned on the following: The applicant has six delinquent debts totaling over $21,000, indicating an inability to meet financial obligations; The applicant's financial issues have persisted for several years, with most debts becoming delinquent in 2005; The applicant failed to demonstrate effective management of his debts or seek financial counseling.
Why the Applicant Was Denied
- The applicant has six delinquent debts totaling over $21,000, indicating an inability to meet financial obligations.
- The applicant's financial issues have persisted for several years, with most debts becoming delinquent in 2005.
- The applicant failed to demonstrate effective management of his debts or seek financial counseling.
Conditions Referenced
- AG ¶ 19(a)raisedInability or Unwillingness to Satisfy Debts
- AG ¶ 19(c)raisedA History of Failing to Meet Financial Obligations
- AG ¶ 19(e)raisedConsistent Spending Beyond One’s Means
- AG ¶ 20(d)appliedGood-faith Effort to Repay Overdue CreditorsThe applicant settled one debt for $1,000 and made payments on another.
Key Rule Quoted
“Failure or inability to live within one’s means, satisfy debts and meet financial obligations may indicate poor self-control, lack of judgment, or unwillingness to abide by rules and regulations, all of which can raise questions about an individual’s reliability, trustworthiness, and ability to protect classified information.”
Procedural Posture
- SOR issuedJan 23, 2009
- Answer filedMar 3, 2009
- Hearing heldJul 28, 2009Continuation of June 23 hearing.
- Decision dateAug 11, 2009
Cite For
- Denial of Security Clearance Due to Significant Financial Issues Under Guideline F
- Importance of Demonstrating Effective Debt Management and Financial Counseling
- Impact of Long-standing Delinquent Debts on Security Clearance Eligibility