Summary
A 56-year-old defense contractor with prior military service, including holding a top secret clearance, was granted a security clearance despite concerns under Guideline B (Foreign Influence) and Guideline F (Financial Considerations). The applicant's financial history included four bankruptcy filings: Chapter 7 in 1986, discharging approximately $58,347; Chapter 7 in 1994, discharging unsecured non-property debts; Chapter 7 in 2004, discharging approximately $570,264 in liabilities; and Chapter 13 in 2010, which included four alleged debts that were either paid in full or incorporated into the filing.
The bankruptcies were attributed to his first wife's illnesses and medical expenses, and later, significant legal and credit card debts incurred during a difficult divorce from his second wife. The applicant also experienced periods of unemployment in 2006-2007 and 2008, leading to additional delinquent debts and mortgage arrears. Currently, the applicant earns approximately $83,000 annually, supplemented by a $45,000 military pension and $1,000 monthly VA disability. He has maintained $1,000 monthly payments since his 2010 bankruptcy, developed a budget, and received financial counseling. He consistently disclosed his bankruptcies on previous security clearance applications.
The judge found that the applicant's strong ties to the U.S. and credible testimony mitigated the concerns. His foreign family ties were determined not to create a conflict of interest, and his commitment to national interests was demonstrated. Consequently, the security clearance was granted.
Why the applicant prevailed
- The applicant demonstrated strong ties to the U.S. and a commitment to national interests.
- He provided credible testimony regarding his foreign contacts and financial history.
- The applicant's family ties to foreign nationals did not create a conflict of interest.
Conditions referenced
- AG ¶ 7(a)raisedContact with Foreign Family Members
- AG ¶ 7(b)raisedConnections to Foreign Persons
- AG ¶ 7(d)raisedSharing Living Quarters with Foreign Nationals
- AG ¶ 8(a)appliedNature of Relationships with Foreign Persons
- AG ¶ 8(b)appliedMinimal Conflict of Interest
Key rule quoted
“The United States has a compelling interest in protecting and safeguarding classified information from any person, organization, or country that is not authorized to have access to it, regardless of whether that person, organization, or country has interests inimical to those of the United States.”
Procedural posture
- SOR issuedMar 15, 2010
- Answer filed—
- Hearing heldOct 5, 2010
- Decision date—
Cite for
- Mitigation of Foreign Influence Concerns Under Guideline B
- Financial Considerations Related to Multiple Bankruptcies
- Evaluation of Personal Circumstances in Security Clearance Determinations