Summary
A 58-year-old single female, employed by a defense contractor and a high school graduate, was denied a security clearance under Guideline F (Financial Considerations). The denial stemmed from significant and long-standing financial issues, with the applicant admitting to twelve delinquent debts totaling approximately $10,895. These debts had accumulated since 2008, and the applicant failed to demonstrate a good-faith effort to resolve them.
Specific allegations included seven delinquent medical debts totaling about $10,895, all related to a 2008 surgery. Among these were a $147 medical debt for an unknown provider, and a $210 medical debt on which no payments had been made or planned. Other debts included a $7,778 delinquent debt from an automobile repossessed in April 2008, a $263 delinquent debt for cable television service, and an $83 delinquent medical debt with no payments made or planned.
The judge concluded that the applicant's financial situation posed a risk of coercion or exploitation. The denial was based on the applicant's admission of twelve delinquent debts, minimal attempts to resolve them with no evidence of payments since 2010, and the long-standing, unresolved nature of her financial difficulties, which raised concerns about her reliability and trustworthiness.
Why the Applicant Was Denied
- The applicant admitted to twelve delinquent debts totaling approximately $10,895, indicating financial overextension.
- The applicant made minimal attempts to resolve her debts and provided no evidence of payments made since 2010.
- The applicant's financial difficulties were longstanding and unresolved, raising concerns about her reliability and trustworthiness.
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 Infrequent, or Occurred Under Circumstances Unlikely to RecurThe applicant's financial difficulties are longstanding and unresolved.
- AG ¶ 20(b)rejectedConditions That Resulted in the Financial Problem Were Largely Beyond the Person's ControlWhile the applicant faced significant life changes, she did not act responsibly to resolve her debts.
- AG ¶ 20(d)rejectedIndividual Initiated a Good-faith Effort to Repay Overdue CreditorsThe applicant has not initiated any good-faith efforts to repay her creditors.
- AG ¶ 20(e)rejectedIndividual Has a Reasonable Basis to Dispute the Legitimacy of the Past-due DebtThe applicant did not provide evidence of actions taken to dispute her 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 issuedFeb 9, 2011
- Answer filedMar 11, 2011
- Hearing heldMay 26, 2011 and June 22, 2011
- Decision dateDec 30, 2011
Cite For
- Financial Overextension as a Disqualifying Condition Under Guideline F
- Lack of Good-faith Efforts to Resolve Debts as a Basis for Denial
- Longstanding Financial Difficulties Raising Security Concerns