Summary
A 38-year-old business analyst for a defense contractor was granted a security clearance despite initial concerns under Guideline F (Financial Considerations). The applicant faced 23 allegations of delinquent debts, including four small medical debts totaling approximately $310, 17 credit card debts exceeding $82,500, and two overdue library accounts totaling $251. These issues raised disqualifying conditions related to financial trustworthiness.
The applicant's financial difficulties were attributed to medical issues and a failed business, circumstances largely beyond her control. In response, she demonstrated responsible financial behavior by filing for Chapter 13 bankruptcy, which encompassed all listed debts, and has consistently made payments under the established plan.
The decision to grant the clearance was based on the applicant's proactive steps to resolve her debts, her demonstrated pattern of responsible financial behavior, and positive character references from colleagues.
Why the Applicant Prevailed
- The applicant's financial difficulties were primarily due to medical issues and circumstances beyond her control.
- She filed for Chapter 13 bankruptcy, which included all debts listed in the SOR, and has made payments under the plan.
- The applicant demonstrated a pattern of responsible financial behavior and received positive character references from colleagues.
Conditions Referenced
- FC DC ¶ 19(a)raisedInability or Unwillingness to Satisfy Debts
- FC DC ¶ 19(c)raisedA History of Not Meeting Financial Obligations
- FC MC ¶ 20(a)appliedThe Behavior Happened so Long Ago, Was so Infrequent, or Occurred Under Such Circumstances That It Is Unlikely to Recur
- FC MC ¶ 20(b)appliedThe Conditions That Resulted in the Financial Problems Were Largely Beyond the Person’s Control
- FC MC ¶ 20(c)appliedThe Person Has Received or Is Receiving Counseling for the Problem And/or There Are Clear Indications That the Problem Is Being Resolved or Is Under Control
- FC MC ¶ 20(d)appliedThe Individual Has Initiated a Good-faith Effort to Repay the Overdue Creditors or Otherwise Resolve Debts
Key Rule Quoted
“A person who seeks access to sensitive information enters into a fiduciary relationship with the Government predicated upon trust and confidence.”
Procedural Posture
- SOR issuedApr 14, 2010
- Answer filedJun 1, 2010
- Hearing heldSep 21, 2010
- Decision dateNov 23, 2010
Cite For
- Mitigation of Financial Concerns Under Guideline F Due to Medical Issues
- Impact of Chapter 13 Bankruptcy on Trustworthiness Determinations
- Consideration of the Whole-person Concept in Financial Cases