Summary
A 38-year-old married man with three children was granted a security clearance despite initial concerns under Guideline F (Financial Considerations). The Statement of Reasons detailed several delinquent debts, including approximately $9,124, $8,612, $9,124, and $3,494 owed on various credit card accounts. Additionally, two foreclosures resulted in deficiencies of approximately $7,000 and $152,400, respectively. These issues arose after the applicant experienced job loss and difficulties with tenants in his rental properties.
Disqualifying conditions under Adjudicative Guidelines Paragraphs 19(a) and 19(c) were raised. However, the judge applied mitigating conditions under Paragraphs 20(a), 20(b), 20(c), and 20(d), noting the applicant's significant efforts toward financial reform.
Over the past two years, the applicant demonstrated a strong record of consistent payments through a credit management firm, reducing his overall indebtedness by approximately $15,000. The judge also found that the applicant possessed ample discretionary income and reserve assets to satisfy any remaining outstanding debts, leading to the decision to grant the security clearance.
Why the applicant prevailed
- The applicant demonstrated a strong record of financial reform over the past two years.
- He has been making consistent payments to a credit management plan and has reduced his indebtedness by approximately $15,000.
- The applicant has ample discretionary income and reserve assets to satisfy any outstanding 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)appliedBehavior Happened Long Ago or Infrequently
- AG ¶ 20(b)appliedConditions Largely Beyond the Person's Control
- AG ¶ 20(c)appliedReceived Counseling and Indications of Resolution
- AG ¶ 20(d)appliedGood-faith Effort to Repay Debts
Key rule quoted
“"Failure or inability to live within one’s means, satisfy debts, and meet financial obligations may indicate poor self-control, lack of judgment, or unwillingness to abide by rules and regulations, all of which can raise questions about an individual’s reliability, trustworthiness and ability to protect classified information."”
Procedural posture
- SOR issuedJun 16, 2011
- Answer filedJul 14, 2011
- Hearing heldNov 2, 2011Rescheduled from October 27, 2011.
- Decision dateDec 12, 2011
Cite for
- Mitigation of Financial Considerations Under Guideline F
- Importance of Demonstrating Financial Reform and Responsibility
- Whole-person Concept in Evaluating Security Clearance Eligibility