Summary
A 46-year-old research associate was denied a security clearance due to concerns under Guideline E (Personal Conduct) and Guideline F (Financial Considerations). The Statement of Reasons (SOR) cited an unsatisfied judgment for approximately $450, an unsatisfied tax lien for about $9,502, and a delinquent debt of $9,671. Additionally, the applicant had filed a Chapter 13 bankruptcy petition in January 2009, which was dismissed in February 2010.
The SOR also alleged that the applicant falsified his security clearance application by failing to disclose the judgment and tax lien. While the applicant refuted the falsification allegations, he did not successfully mitigate the financial concerns.
The denial was based on the applicant's history of delinquent debts and his failure to resolve them in a timely manner. The applicant's recent payment agreements for these debts were negotiated only after the SOR was issued, which raised doubts about his reliability and judgment.
Why the Applicant Was Denied
- The applicant did not mitigate security concerns under Guideline F due to a history of delinquent debts and failure to timely resolve them.
- The applicant's recent payment agreements for debts were negotiated only after the Statement of Reasons was issued, raising doubts about his reliability and judgment.
Conditions Referenced
- AG ¶ 19(a)raisedInability or Unwillingness to Satisfy Debts
- AG ¶ 19(c)raisedA History of Not Meeting Financial Obligations
- AG ¶ 20(a)rejectedBehavior Happened so Long Ago, Was so Infrequent, or Occurred Under Such Circumstances That It Is Unlikely to RecurThe applicant's delinquent debts are recent and numerous.
- AG ¶ 20(b)rejectedConditions That Resulted in the Financial Problem Were Largely Beyond the Person's ControlThe applicant did not react responsibly to the financial downturn.
- AG ¶ 20(c)rejectedReceived or Is Receiving Counseling for the Problem And/or There Are Clear Indications That the Problem Is Being Resolved or Is Under ControlThe applicant has not established a record of compliance with payment agreements.
- AG ¶ 20(d)rejectedInitiated a Good-faith Effort to Repay Overdue Creditors or Otherwise Resolve DebtsPayment agreements were negotiated under pressure of the security clearance process.
Key Rule Quoted
“Eligibility for a security clearance is predicated upon the applicant meeting the criteria contained in the AG.”
Procedural Posture
- SOR issuedApr 12, 2011
- Answer filedApr 29, 2011
- Hearing heldJun 8, 2011
- Decision dateJul 29, 2011
Cite For
- Failure to Mitigate Financial Concerns Under Guideline F
- Rejection of Mitigating Conditions Due to Recent Financial Issues
- Refutation of Falsification Allegations Under Guideline E