Summary
A 39-year-old security officer for a defense contractor was granted a security clearance despite significant financial challenges under Guideline F (Financial Considerations). The applicant had accumulated five debts totaling over $320,000 and had previously filed for Chapter 7 bankruptcy in February 2000, which was discharged in May 2000. These issues raised disqualifying conditions related to financial irresponsibility and an inability to meet financial obligations.
However, several mitigating conditions were applied. The applicant's financial difficulties were largely attributed to circumstances beyond his control, specifically job-related injuries and subsequent layoffs. He demonstrated good faith efforts to resolve his debts, including initiating a new Chapter 7 bankruptcy petition.
Additionally, the applicant provided positive character references from friends and coworkers, which attested to his trustworthiness. These factors collectively led to the determination that the applicant's financial issues did not pose an unacceptable security risk, and his security clearance was granted.
Why the Applicant Prevailed
- The applicant's financial difficulties were largely due to circumstances beyond his control, including job-related injuries and layoffs.
- He demonstrated good faith efforts to resolve his debts, including filing for Chapter 7 bankruptcy.
- The applicant received positive character references from friends and coworkers, indicating trustworthiness.
Conditions Referenced
- DC 19(a)raisedInability or Unwillingness to Satisfy Debts
- DC 19(c)raisedA History of Not Meeting Financial Obligations
- MC 20(b)appliedThe Conditions That Resulted in the Financial Problem Were Largely Beyond the Person’s Control
- MC 20(a)appliedThe Behavior Happened so Long Ago, Was so Infrequent, or Occurred Under Circumstances That It Is Unlikely to Recur
- MC 20(d)appliedThe Individual Initiated a Good-faith Effort to Repay Overdue Creditors or Otherwise Resolve Debts
- MC 20(c)appliedThe 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
Key Rule Quoted
“A decision to grant or continue an applicant's security clearance may be made only upon a threshold finding that to do so is clearly consistent with the national interest.”
Procedural Posture
- SOR issuedAug 13, 2008
- Answer filedSep 1, 2008undated response
- Hearing heldNov 13, 2008
- Decision dateJan 28, 2009
Cite For
- Mitigating Circumstances Under Guideline F Due to Extenuating Financial Difficulties
- Good Faith Efforts to Resolve Financial Issues Through Bankruptcy
- Character References Supporting Trustworthiness Despite Financial Issues