Summary
This case concerns a 29-year-old woman seeking eligibility for a public trust position, with the decision focusing on Guideline F (Financial Considerations). The applicant admitted to 38 delinquent debts totaling $116,770, which included a $92,203 delinquent mortgage. The remaining $25,000 in debts were owed to various entities such as credit card companies, utility providers, department stores, an insurance company, loan companies, a bank, and resulted from an automobile repossession. Additionally, fourteen medical debts totaled approximately $2,600.
These financial issues led to the application of disqualifying conditions F.1.a and F.1.c. However, the applicant's debts were discharged through a Chapter 7 bankruptcy in 2009, resolving the outstanding financial obligations.
The judge applied mitigating conditions F.2.a, F.2.b, F.2.c, and F.2.d, noting the applicant's significant steps to address her financial history. These steps included establishing a budget and participating in ongoing financial counseling. Her current financial situation was found to be stable, with sufficient income to cover living expenses. Based on these factors, eligibility was GRANTED.
Why the applicant prevailed
- The applicant's debts were discharged through a Chapter 7 bankruptcy, resolving the financial issues.
- She demonstrated financial responsibility by establishing a budget and participating in financial counseling.
- The applicant's current financial situation is stable, with sufficient income to cover living expenses.
Conditions referenced
- F.1.araisedInability or Unwillingness to Satisfy Debts
- F.1.craisedA History of Not Meeting Financial Obligations
- F.2.aappliedThe Behavior Happened so Long Ago, Was so Infrequent, or Occurred Under Such Circumstances That It Is Unlikely to Recur
- F.2.bappliedThe Conditions That Resulted in the Financial Problem Were Largely Beyond the Person's Control
- F.2.cappliedThe 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
- F.2.dappliedThe Individual Initiated a Good-faith Effort to Repay Overdue Creditors or Otherwise Resolve Debts
Key rule quoted
“The standard that must be met for . . . assignment to sensitive duties is that, based on all available information, the person’s loyalty, reliability, and trustworthiness are such that . . . assigning the person to sensitive duties is clearly consistent with the interests of national security.”
Procedural posture
- SOR issuedJul 7, 2009
- Answer filedSep 15, 2009Applicant initially waived her right to a hearing.
- Hearing heldMar 30, 2010
- Decision dateApr 16, 2010
Cite for
- Mitigation of Financial Issues Under Guideline F
- Impact of Bankruptcy on Security Clearance Eligibility
- Importance of Financial Counseling in Demonstrating Responsibility