Summary
A 41-year-old defense contractor employee was denied a security clearance under Guideline F (Financial Considerations) due to multiple unresolved financial delinquencies totaling approximately $50,880. The Statement of Reasons detailed ten distinct delinquent accounts, including those with a national department store, a furniture store, a credit union, a bank, and several collection agencies. Some listed accounts were identified as duplicates.
Disqualifying conditions under Guideline F, specifically AG ¶ 19(a) and AG ¶ 19(c), were raised. While mitigating conditions AG ¶ 20(a), AG ¶ 20(b), AG ¶ 20(c), and AG ¶ 20(d) were considered, they were not sufficient to overcome the security concerns.
The denial was based on the applicant's failure to mitigate these concerns. He demonstrated a history of not meeting financial obligations and did not provide evidence of good-faith efforts to resolve his debts. The ongoing and unresolved nature of his financial difficulties ultimately led to doubts about his reliability and trustworthiness, resulting in the denial of his security clearance.
Why the Applicant Was Denied
- The applicant failed to mitigate security concerns regarding financial considerations.
- He had a history of not meeting financial obligations and did not provide evidence of a good-faith effort to resolve his debts.
- The applicant's financial difficulties were ongoing and unresolved, raising doubts about his 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(b)appliedConditions That Resulted in the Financial Problem Were Largely Beyond the Person's ControlThe applicant attributed his financial problems to factors such as low employment and divorce, but did not act responsibly to resolve them.
- AG ¶ 20(a)rejectedBehavior Happened so Long Ago, Was so Infrequent, or Occurred Under Such Circumstances That It Is Unlikely to Recur
- AG ¶ 20(c)rejectedEvidence of Counseling for the Problem And/or Indications That the Problem Is Being Resolved or Is Under Control
- AG ¶ 20(d)rejectedGood-faith Effort to Repay Overdue Creditors or Otherwise Resolve DebtsThe applicant did not provide evidence of any good-faith efforts to resolve his 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 issuedApr 5, 2011
- Answer filedJan 11, 2012
- Hearing held—Applicant elected to have the case decided on the written record.
- Decision dateJun 26, 2012
Cite For
- Denial of Security Clearance Due to Unresolved Financial Issues Under Guideline F
- Failure to Demonstrate Good-faith Efforts to Resolve Debts
- Impact of Financial Considerations on Security Clearance Eligibility