Summary
A 49-year-old defense contractor employee was granted a security clearance despite initial concerns under Guideline F (Financial Considerations). The applicant had accumulated $37,195 in delinquent debts, leading to allegations of financial irresponsibility.
However, the applicant demonstrated significant efforts to resolve these issues. Six of the seven debts were paid prior to the Statement of Reasons (SOR) being issued, including obligations to Chase (paid June 2007), Bank of America (paid July 2007), Chevron, and Discover. Additionally, accounts with HSBC/Best Buy and Sears were closed, with creditors agreeing to remove them from credit reports. For the remaining debt to Network/Singing River, which was for utilities at his former spouse's residence, a payment plan was established, though no payments had been made at the time of the decision.
The judge concluded that the applicant's financial issues were under control, citing the resolution of most debts, the establishment of a payment plan for the outstanding obligation, and evidence of improved financial management, including savings and a manageable budget. Consequently, the security clearance was granted.
Why the Applicant Prevailed
- The applicant resolved six of the seven delinquent debts prior to the SOR issuance.
- The applicant provided documentation showing a payment plan for the remaining debt, indicating financial responsibility.
- The applicant's financial situation showed clear improvement, with evidence of savings and a manageable budget.
Conditions Referenced
- AG ¶ 19araisedInability or Unwillingness to Satisfy Debts
- AG ¶ 19craisedA History of Not Meeting Financial Obligations
- 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 to resolve 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 issuedAug 15, 2008Applicant received SOR on August 19, 2008.
- Answer filedAug 28, 2008Applicant submitted a notarized Answer.
- Hearing held—Applicant requested a decision without a hearing.
- Decision dateDec 8, 2008
Cite For
- Mitigation of Financial Considerations Under Guideline F
- Good-faith Efforts to Resolve Debts
- Whole Person Concept in Security Clearance Evaluations