Summary
A 41-year-old engineer technician, employed by a Department of Defense contractor, was denied a security clearance under Guideline F (Financial Considerations) due to unresolved financial issues. The Statement of Reasons detailed four specific allegations: a $4,750 civil judgment from February 2002, a $59 satellite television account placed for collection in September 2007, a $7,053 account placed for collection in May 2007, and a $12,918 debt owed to the Department of Defense placed for collection in August 2007.
These issues raised Disqualifying Conditions FC DC 19(a) and FC DC 19(c). While Mitigating Conditions FC MC 20(a), FC MC 20(b), FC MC 20(c), FC MC 20(d), and FC MC 20(e) were considered, they were not sufficient to overcome the concerns.
The denial was based on the applicant's significant unresolved delinquent debt, totaling approximately $24,721. Furthermore, insufficient evidence was provided regarding the cause of these financial problems and the applicant's current financial situation. The applicant also failed to demonstrate timely payments or responsible management of his repayment agreements, leading to concerns about his reliability and trustworthiness.
Why the Applicant Was Denied
- The applicant has a significant amount of unresolved delinquent debt totaling approximately $24,721.
- Insufficient evidence was provided regarding the cause of the financial problems and the applicant's current financial situation.
- The applicant did not demonstrate timely payments or responsible management of his repayment agreements.
Conditions Referenced
- FC DC 19(a)appliedInability or Unwillingness to Satisfy Debts
- FC DC 19(c)appliedA History of Not Meeting Financial Obligations
- FC MC 20(a)rejectedThe Behavior Happened so Long Ago, Was so Infrequent, or Occurred Under Such Circumstances That It Is Unlikely to RecurThree of Applicant’s accounts became delinquent in 2007.
- FC MC 20(b)rejectedConditions That Resulted in the Financial Problem Were Largely Beyond the Person's ControlThe record evidence does not indicate the cause of Applicant’s financial problems.
- FC MC 20(c)rejectedThe Person Has Received or Is Receiving Counseling for the ProblemThere is no evidence that Applicant attended financial counseling.
- FC MC 20(d)appliedThe Individual Initiated a Good-faith Effort to Repay Overdue CreditorsApplicant resolved the $59 debt alleged in SOR ¶ 1.b and entered into a repayment agreement for the debt in SOR ¶ 1.d.
- FC MC 20(e)rejectedThe Individual Has a Reasonable Basis to Dispute the Legitimacy of the Past-due DebtApplicant provided no evidence that he is taking action to formally dispute the debt in SOR ¶ 1.c.
Key Rule Quoted
“Any doubt concerning personnel being considered for access to classified information will be resolved in favor of national security.”
Procedural Posture
- SOR issuedDec 16, 2008
- Answer filedJan 27, 2009Requested decision on written record.
- Hearing heldN/ADecision based on written record.
- Decision dateJun 4, 2009
Cite For
- Denial of Security Clearance Due to Unresolved Financial Obligations
- Impact of Financial Considerations on Security Clearance Eligibility
- Importance of Demonstrating Financial Responsibility in Security Clearance Cases