Summary
A 34-year-old quality inspector for a Department of Defense contractor was denied a security clearance under Guideline F (Financial Considerations) due to significant financial issues. The Statement of Reasons detailed 35 delinquent accounts, totaling approximately $27,013. These included numerous medical bills, several credit card debts, a traffic ticket, an account for leased property damages, two bank accounts, and a $7,000 debt from an automobile repossession.
The judge found that these financial difficulties raised security concerns, citing Disqualifying Conditions 19(a) and 19(c), which relate to an inability or unwillingness to satisfy financial obligations. While Mitigating Conditions 20(b) and 20(e) were considered, the applicant failed to demonstrate responsible management of her debts.
Specifically, the applicant did not provide evidence of a plan to resolve her delinquent accounts or show responsible financial behavior. Her financial situation remained unstable, with no clear indication of improvement or resolution of the outstanding debts, leading to the denial of the security clearance.
Why the Applicant Was Denied
- The applicant has 35 delinquent accounts totaling approximately $27,013, indicating an inability to manage financial obligations.
- The applicant did not provide evidence of a plan to resolve her delinquent accounts or demonstrate responsible financial behavior.
- The applicant's financial situation remains unstable, with no clear indication of improvement or resolution of debts.
Conditions Referenced
- FC DC 19(a)appliedInability or Unwillingness to Satisfy Debts
- FC DC 19(c)appliedHistory of Not Meeting Financial Obligations
- FC MC 20(b)appliedConditions That Resulted in the Financial Problem Were Largely Beyond the Person's ControlThe applicant incurred medical debts during periods of unemployment and without health insurance.
- FC MC 20(e)rejectedReasonable Basis to Dispute the Legitimacy of the Past-due DebtThe applicant did not provide documented proof to substantiate the basis for disputing the debts.
Key Rule Quoted
“The protection of the national security is the paramount consideration.”
Procedural Posture
- SOR issuedApr 1, 2009
- Answer filedApr 23, 2009
- Hearing heldJun 16, 2009
- Decision dateJul 23, 2009
Cite For
- Financial Instability as a Disqualifying Factor Under Guideline F
- The Burden of Proof Lies with the Applicant to Mitigate Financial Concerns
- Consideration of the Whole Person Concept in Security Clearance Decisions