ISCR Case 09-00268.h1

Case Headnote

ISCR Case No. 09-00268.h1

deniedOct 6, 2010· Hon. Mary E. Henry· hearing

Summary

A 79-year-old U.S. citizen, holding dual citizenship with Israel, was denied a security clearance under Guidelines B (Foreign Influence), C (Foreign Preference), and E (Personal Conduct). The denial stemmed from concerns regarding the applicant's substantial financial interests and property in Israel, valued at approximately $56 million, which raised questions about potential foreign influence and divided loyalties.

The applicant had renewed his Israeli passport in 2006, which was valid until 2016, and had used it to enter and leave Israel since that time. Prior to October 2006, he used his U.S. passport for travel to Israel. Although the applicant stated he would relinquish his Israeli citizenship to obtain the clearance, he possessed a valid Israeli passport when he met with the investigator.

The judge ultimately denied the application, citing the applicant's significant financial ties and property ownership in Israel, his dual citizenship, and his connections to a high-ranking Israeli government official and a philanthropic foundation in Israel. These factors collectively heightened the risk of foreign exploitation and presented an unacceptable security risk.

Why the Applicant Was Denied

The applicant has significant financial interests in Israel, including ownership of properties valued at approximately $56 million.
The applicant's dual citizenship with Israel raises concerns about divided loyalties and potential foreign influence.
The applicant's connections to a high-ranking official in the Israeli government and a philanthropic foundation in Israel heighten the risk of foreign exploitation.

Conditions Referenced

Disqualifying

AG ¶ 7(a)raisedContact with Foreign Family Members or Associates
AG ¶ 7(b)raisedConnections to Foreign Persons or Governments
AG ¶ 7(e)raisedSubstantial Business Interests in a Foreign Country
AG ¶ 10(a)raisedPossession of a Current Foreign Passport

Mitigating

AG ¶ 8(a)rejectedNature of Relationships with Foreign PersonsThe applicant's relationships and interests in Israel were found to create a heightened risk of foreign influence.
AG ¶ 8(b)rejectedMinimal Conflict of InterestThe applicant's substantial financial interests in Israel were deemed significant enough to pose a conflict.
AG ¶ 8(c)rejectedCasual and Infrequent Contact with Foreign CitizensThe applicant's frequent travel to Israel and connections with Israeli officials were not considered casual.

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 issuedMar 8, 2010
Answer filedMar 26, 2010Applicant requested a decision on the written record.
Hearing held—No hearing was held; decision was made on the written record.
Decision dateOct 6, 2010

Cite For

Foreign Influence Due to Substantial Financial Interests in a Foreign Country
Dual Citizenship Raising Concerns of Divided Loyalties
Impact of Foreign Contacts on Security Clearance Eligibility

Editorial summary generated for research. Not legal advice; not a prediction. Verify against the full decision before relying on any quoted language.

¶	Allegation	Finding	Relationship	Country	Response	Disqualifying (¶7)	Mitigating applied (¶8)	Mitigation
2.a–2.h	8 sub-charges — specific text not stated in this decision (7 against, 1 for the applicant).	Mixed	Unspecified Foreign Relationship Other	— HEIGHTENED RISK		—	—	—

Allegation

Finding

Relationship

Country

Response

Disqualifying (¶7)

Mitigating applied (¶8)

Mitigation

2.a–2.h

8 sub-charges — specific text not stated in this decision (7 against, 1 for the applicant).

Mixed

Unspecified Foreign Relationship

Other

—

HEIGHTENED RISK

—

¶	Allegation	Finding	Type	Response	Disqualifying (¶10)	Mitigating applied (¶11)	Mitigation
1.a (1)	Applicant applied to renew his Israeli passport that expired in 1979. Israel issued him a new passport on October 8, 2006, which will expire on September 8, 2016.	Against Applicant	Foreign Passport Possession or Use	Admitted	(a) applying for and/or acquiring citizenship in any other country (b) failure to report, or fully disclose when required, possession of a passport or identity card issued by any country other than the U.S. (e) using foreign citizenship to protect financial or business interests in another country in violation of U.S. law	—	—
1.a (2)	Since 2006, Applicant has used his Israeli passport to enter and leave Israel. Prior to October 2006, he used his U.S. passport to enter and leave Israel.	Against Applicant	Foreign Passport Possession or Use	Admitted	(a) applying for and/or acquiring citizenship in any other country (b) failure to report, or fully disclose when required, possession of a passport or identity card issued by any country other than the U.S. (e) using foreign citizenship to protect financial or business interests in another country in violation of U.S. law	—	—
1.a (3)	Applicant claims dual citizenship with Israel, but not with Iran.	Against Applicant	Foreign Citizenship Acquisition or Application	Admitted	(a) applying for and/or acquiring citizenship in any other country (b) failure to report, or fully disclose when required, possession of a passport or identity card issued by any country other than the U.S. (e) using foreign citizenship to protect financial or business interests in another country in violation of U.S. law	—	—
1.a (4)	Applicant indicated he would give up his Israeli citizenship to obtain his security clearance.	Against Applicant	Failure to Renounce or Surrender Foreign Status	Admitted	(a) applying for and/or acquiring citizenship in any other country (b) failure to report, or fully disclose when required, possession of a passport or identity card issued by any country other than the U.S. (e) using foreign citizenship to protect financial or business interests in another country in violation of U.S. law	—	—
1.a (5)	Applicant has a valid Israeli passport at the time he met with the investigator.	Against Applicant	Foreign Passport Possession or Use	Admitted	(a) applying for and/or acquiring citizenship in any other country (b) failure to report, or fully disclose when required, possession of a passport or identity card issued by any country other than the U.S. (e) using foreign citizenship to protect financial or business interests in another country in violation of U.S. law	—	—

Allegation

Finding

Type

Response

Disqualifying (¶10)

Mitigating applied (¶11)

Mitigation

1.a (1)

Applicant applied to renew his Israeli passport that expired in 1979. Israel issued him a new passport on October 8, 2006, which will expire on September 8, 2016.

Against Applicant

Foreign Passport Possession or Use

Admitted

(a) applying for and/or acquiring citizenship in any other country

(b) failure to report, or fully disclose when required, possession of a passport or identity card issued by any country other than the U.S.

(e) using foreign citizenship to protect financial or business interests in another country in violation of U.S. law

—

1.a (2)

Since 2006, Applicant has used his Israeli passport to enter and leave Israel. Prior to October 2006, he used his U.S. passport to enter and leave Israel.

Against Applicant

Foreign Passport Possession or Use

Admitted

(a) applying for and/or acquiring citizenship in any other country

(b) failure to report, or fully disclose when required, possession of a passport or identity card issued by any country other than the U.S.

(e) using foreign citizenship to protect financial or business interests in another country in violation of U.S. law

—

1.a (3)

Applicant claims dual citizenship with Israel, but not with Iran.

Against Applicant

Foreign Citizenship Acquisition or Application

Admitted

(a) applying for and/or acquiring citizenship in any other country

(b) failure to report, or fully disclose when required, possession of a passport or identity card issued by any country other than the U.S.

(e) using foreign citizenship to protect financial or business interests in another country in violation of U.S. law

—

1.a (4)

Applicant indicated he would give up his Israeli citizenship to obtain his security clearance.

Against Applicant

Failure to Renounce or Surrender Foreign Status

Admitted

(a) applying for and/or acquiring citizenship in any other country

(b) failure to report, or fully disclose when required, possession of a passport or identity card issued by any country other than the U.S.

(e) using foreign citizenship to protect financial or business interests in another country in violation of U.S. law

—

1.a (5)

Applicant has a valid Israeli passport at the time he met with the investigator.

Against Applicant

Foreign Passport Possession or Use

Admitted

(a) applying for and/or acquiring citizenship in any other country

(b) failure to report, or fully disclose when required, possession of a passport or identity card issued by any country other than the U.S.

(e) using foreign citizenship to protect financial or business interests in another country in violation of U.S. law

—

¶	Allegation	Finding	Conduct	Concealed Issue	Response	Disqualifying (¶16)	Mitigating applied (¶17)	Mitigation
3.a–3.c	3 sub-charges — specific text not stated in this decision (2 against, 1 for the applicant).	Mixed		—		—	—	—

Allegation

Finding

Conduct

Concealed Issue

Response

Disqualifying (¶16)

Mitigating applied (¶17)

Mitigation

3.a–3.c

3 sub-charges — specific text not stated in this decision (2 against, 1 for the applicant).

Mixed

—

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Case Profile

Summary

Why the Applicant Was Denied

Conditions Referenced

Key Rule Quoted

Procedural Posture

Cite For

Full decision

DEFENSE OFFICE OF HEARINGS AND APPEALS

HEARING

APPEARANCES

STATEMENT OF CASE

FINDINGS OF FACT

POLICIES

ANALYSIS

WHOLE PERSON CONCEPT

FORMAL FINDINGS

CONCLUSION

FOOTNOTES