Summary
The applicant, a 37-year-old information technology systems administrator and veteran, faced financial issues primarily due to job loss and poor financial decisions related to home purchasing. Despite admitting to multiple delinquent debts, he demonstrated efforts to resolve these issues through payments and establishing plans with creditors. The judge found that the applicant's financial problems did not undermine his reliability or trustworthiness, leading to a granted security clearance under Guideline F.
Under Guideline F (Financial Considerations), the Statement of Reasons alleged the following: $1,477 charged off consumer credit card that became delinquent in 2007, when he lost his second full-time job (1.a). $8,508 charged off credit card account that became delinquent in 2007, when he lost his second full-time job (1.b). $2,398 charged off credit card account that became delinquent in 2007 (1.d). $1,076 charged off consumer credit card that became delinquent in 2007 (1.e). $1,410 charged off debt to a telephone services provider that became delinquent in 2007 (1.f). $406 charged off debt to a telephone services provider that became delinquent in 2007 (1.g). approximately $32,500 first real estate mortgage past due, with a monthly payment of approximately $3,900 (1.h). $477 debt to a cable provider (1.i). unpaid traffic tickets in collection by a state (1.k). unpaid traffic tickets in collection by a state (1.l). unpaid traffic tickets in collection by a state (1.m). $130 delinquent medical account (1.n). $130,888 second mortgage in collection (1.o).
The judge granted the clearance. The government raised disqualifying conditions AG ¶ 19(a), AG ¶ 19(c). The judge applied mitigating conditions AG ¶ 20(b), AG ¶ 20(c), AG ¶ 20(d), AG ¶ 20(e). The decision turned on the following: The applicant's financial problems were largely due to circumstances beyond his control, such as job loss; He made reasonable efforts to resolve his financial issues, including settling debts and establishing payment plans; The applicant's current financial situation does not raise doubts about his reliability, trustworthiness, or judgment.
Why the Applicant Prevailed
- The applicant's financial problems were largely due to circumstances beyond his control, such as job loss.
- He made reasonable efforts to resolve his financial issues, including settling debts and establishing payment plans.
- The applicant's current financial situation does not raise doubts about his reliability, trustworthiness, or judgment.
Conditions Referenced
- AG ¶ 19(a)raisedInability or Unwillingness to Satisfy Debts
- AG ¶ 19(c)raisedA History of Not Meeting Financial Obligations
- AG ¶ 20(b)appliedConditions That Resulted in the Financial Problem Were Largely Beyond the Person’s Control
- AG ¶ 20(c)appliedThe Person Has Received or Is Receiving Counseling for the Problem
- AG ¶ 20(d)appliedThe Individual Initiated a Good-faith Effort to Repay Overdue Creditors or Otherwise Resolve Debts
- AG ¶ 20(e)appliedThe Individual Has a Reasonable Basis to Dispute the Legitimacy of the Past-due Debt
Key Rule Quoted
“Eligibility for a security clearance is predicated upon the applicant meeting the criteria contained in the adjudicative guidelines.”
Procedural Posture
- SOR issuedJul 19, 2010
- Answer filedJul 30, 2010
- Hearing heldSep 27, 2010
- Decision dateJan 13, 2011
Cite For
- Mitigation of Financial Issues Under Guideline F
- Consideration of Circumstances Beyond an Applicant's Control
- Evidence of Good-faith Efforts to Resolve Debts