Summary
A 50-year-old senior project engineer for a defense contractor was granted a security clearance despite concerns under Guideline F (Financial Considerations). The Statement of Reasons detailed six delinquent debts totaling approximately $19,557, including an account in collection for $3,966, a telephone account for $308, a car repossession debt for $11,054, apartment rent for $2,270, a credit card debt for $1,684, and a cable bill for $275. These allegations raised disqualifying conditions AG ¶ 19(a) and AG ¶ 19(c).
The judge determined that the applicant's financial difficulties stemmed largely from past circumstances beyond her control, specifically unemployment and caring for a sick child. The applicant demonstrated significant efforts to manage her finances and resolve her debts, leading to the application of mitigating conditions AG ¶ 20(a), AG ¶ 20(b), AG ¶ 20(c), AG ¶ 20(d), and AG ¶ 20(e).
The decision to grant the clearance was based on several factors: the financial issues were primarily due to circumstances beyond her control, she has shown a consistent rise in income and now lives within her means with discretionary income, and she has taken proactive steps to address her financial issues, including seeking financial counseling and disputing debts.
Why the Applicant Prevailed
- The applicant's financial issues were primarily due to circumstances beyond her control, including unemployment and caregiving responsibilities.
- She has shown a consistent rise in income and currently lives within her means, with discretionary income available.
- The applicant has taken proactive steps to address her financial issues, including seeking financial counseling and disputing debts.
Conditions Referenced
- AG ¶ 19(a)raisedInability or Unwillingness to Satisfy Debts
- AG ¶ 19(c)raisedA History of Not Meeting Financial Obligations
- AG ¶ 20(a)appliedThe Behavior Happened so Long Ago, Was so Infrequent, or Occurred Under Such Circumstances That It Is Unlikely to Recur and Does Not Cast Doubt on the Individual’s Current Reliability, Trustworthiness, or Good Judgment
- AG ¶ 20(b)appliedThe Conditions That Resulted in the Financial Problems Were Largely Beyond the Person’s Control
- AG ¶ 20(c)appliedThe Individual 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
- AG ¶ 20(d)appliedThe Individual Has Initiated a Good-faith Effort to Repay the Overdue Creditors or Otherwise Resolve Debts
- AG ¶ 20(e)appliedThe Individual Has a Reasonable Basis to Dispute the Legitimacy of the Past-due Debt
Key Rule Quoted
“The protection of the national security is the paramount consideration.”
Procedural Posture
- SOR issuedOct 8, 2010
- Answer filedNov 1, 2010
- Hearing heldJan 26, 2011Applicant waived the 15-day notice requirement.
- Decision dateApr 28, 2011
Cite For
- Mitigating Conditions for Financial Considerations Under Guideline F
- Impact of Past Circumstances on Current Financial Reliability
- Importance of Proactive Financial Management in Security Clearance Evaluations