Summary
The applicant, a 58-year-old engineer with a history of financial difficulties, sought a security clearance under Guideline F (Financial Considerations). Despite admitting to several delinquent debts, he demonstrated responsible financial management post-separation from his spouse and resolved most debts using proceeds from the sale of the marital home. The judge found that the applicant mitigated the security concerns and granted the clearance.
Under Guideline F (Financial Considerations), the Statement of Reasons alleged the following: Medical $25 (1.a). Medical $354 (1.b). Medical $110 (1.c). Collection $1,347 (1.d). Cell phone $362 (1.e). Collection $80 (1.f). Cable $87 (1.g). Apartment rent $1,347 (1.h). Auto repossession $18,745 (1.i). Auto repossession $3,017 (1.j). Credit card $296 (1.k). Computer $2,629 (1.l). Telephone $93 (1.m). Cell phone $144 (1.n).
The judge granted the clearance. The government raised disqualifying conditions AG ¶ 19(a), AG ¶ 19(c), AG ¶ 19(e). The judge applied mitigating conditions AG ¶ 20(a), AG ¶ 20(b), AG ¶ 20(d), AG ¶ 20(e). The decision turned on the following: The applicant resolved most of his delinquent debts using proceeds from the sale of the marital home; He demonstrated responsible financial management after separating from his spouse; The applicant provided evidence of a good-faith effort to repay overdue creditors.
Why the Applicant Prevailed
- The applicant resolved most of his delinquent debts using proceeds from the sale of the marital home.
- He demonstrated responsible financial management after separating from his spouse.
- The applicant provided evidence of a good-faith effort to repay overdue creditors.
Conditions Referenced
- AG ¶ 19(a)raisedInability or Unwillingness to Satisfy Debts
- AG ¶ 19(c)raisedA History of Not Meeting Financial Obligations
- AG ¶ 19(e)raisedConsistent Spending Beyond One’s Means
- AG ¶ 20(a)appliedBehavior Happened so Long Ago or Occurred Under Circumstances Unlikely to Recur
- AG ¶ 20(b)appliedConditions Largely Beyond the Person's Control
- AG ¶ 20(d)appliedInitiated a Good-faith Effort to Repay Overdue Creditors
- AG ¶ 20(e)appliedReasonable 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 AG.”
Procedural Posture
- SOR issuedDec 10, 2009
- Answer filedDec 15, 2009Undated document.
- Hearing heldMar 30, 2010
- Decision dateApr 28, 2010
Cite For
- Mitigation of Financial Issues Under Guideline F
- Good-faith Efforts to Resolve Debts
- Impact of Personal Circumstances on Financial Management