Summary
A 38-year-old defense contractor and Navy Reserve member was denied a security clearance due to concerns under Guideline E (Personal Conduct) and Guideline F (Financial Considerations). The applicant had approximately $15,435 in delinquent debts and intentionally falsified his security clearance application (SF 86) in November 2008 by failing to disclose these debts.
The Statement of Reasons detailed multiple delinquent debts, noting that the applicant had not made sufficient efforts to resolve them and still owed four of the alleged debts. While one debt was settled for $1,104, the applicant also had approximately $51,000 in student loans that would soon require attention. The judge found that the applicant had not established clear indications that his financial problems were being resolved or were under control.
The denial was based on the applicant's unresolved delinquent debts, the intentional falsification of his SF 86 which undermined his credibility, and the ongoing nature of his financial issues without demonstrated good-faith efforts toward resolution. The applicant failed to mitigate these concerns, leading to the denial of his security clearance.
Why the Applicant Was Denied
- The applicant has unresolved delinquent debts totaling approximately $15,435.
- The applicant intentionally falsified his SF 86 by omitting delinquent debts, which undermined his credibility.
- The applicant's financial issues are ongoing, and he has not demonstrated a good-faith effort to resolve them.
Conditions Referenced
- F.19(a)raisedInability or Unwillingness to Satisfy Debts
- F.19(c)raisedA History of Not Meeting Financial Obligations
- E.16(a)raisedDeliberate Omission, Concealment, or Falsification of Relevant Facts
- F.20(a)rejectedBehavior Happened so Long Ago, Was Infrequent, or Unlikely to RecurThe applicant's financial issues are current and ongoing.
- F.20(b)rejectedConditions That Resulted in Financial Problems Were Largely Beyond the Person's ControlThe applicant admitted his financial problems resulted from immaturity and irresponsibility.
- F.20(c)rejectedReceived or Receiving Counseling for the ProblemThe applicant has not received financial counseling.
- F.20(d)rejectedInitiated a Good-faith Effort to Repay Overdue CreditorsThe applicant's efforts at paying his delinquent debts are insufficient to qualify as a good-faith effort.
- E.17(a)rejectedPrompt, Good-faith Efforts to Correct the OmissionThe applicant's discussion of his finances during the background investigation was not a prompt correction.
Key Rule Quoted
“The protection of the national security is the paramount consideration.”
Procedural Posture
- SOR issuedNov 6, 2009
- Answer filedNov 17, 2009
- Hearing heldFeb 23, 2010
- Decision dateApr 13, 2010
Cite For
- Failure to Mitigate Financial Considerations Under Guideline F
- Intentional Falsification of Security Clearance Application Under Guideline E
- Importance of Credibility in Security Clearance Evaluations