Summary
A 43-year-old document management analyst was denied a security clearance under Guideline F (Financial Considerations) due to a history of 14 delinquent debts totaling nearly $22,000. The Statement of Reasons detailed several specific allegations, including the applicant assuming responsibility for four of her foster parents’ delinquent obligations and becoming delinquent on her car note.
While the applicant resolved some debts, establishing payment plans for others, and testifying that certain debts were either paid or not hers, the judge found these actions insufficient. Disqualifying conditions under AG ¶ 19(a) and AG ¶ 19(c) were raised, and mitigating conditions under AG ¶ 20(a), AG ¶ 20(b), AG ¶ 20(c), and AG ¶ 20(d) were applied.
Ultimately, the clearance was denied because the applicant failed to demonstrate financial responsibility in acquiring or resolving her debts, which had been unresolved for years. The judge concluded there were no clear indications that her financial problems were being resolved or were under control.
Why the Applicant Was Denied
- The applicant has a history of 14 delinquent debts totaling nearly $22,000 that have been unresolved for years.
- She failed to demonstrate financial responsibility in acquiring or resolving her debts.
- There are no clear indications that her financial problems are being resolved or are under control.
Conditions Referenced
- AG ¶ 19(a)raisedInability or Unwillingness to Satisfy Debts
- AG ¶ 19(c)raisedA History of Not Meeting Financial Obligations
- AG ¶ 20(a)rejectedThe Conditions That Resulted in the Financial Problems Were Beyond the Applicant's ControlThe applicant's periods of diminished earnings do not fully explain her precarious financial situation.
- AG ¶ 20(b)rejectedThe Applicant Has Made Good-faith Efforts to Resolve DebtsMost efforts to resolve financial problems started after receiving DOHA's financial interrogatories.
- AG ¶ 20(c)rejectedThe Applicant Has a Track Record of Financial ResponsibilityThere is insufficient evidence to show that her financial problems will be resolved in the foreseeable future.
- AG ¶ 20(d)rejectedThe Applicant Has Received Financial Counseling or Has a Working BudgetThe applicant did not participate in financial counseling and does not have a working budget.
Key Rule Quoted
“Eligibility for a security clearance is predicated upon the applicant meeting the criteria contained in the adjudicative guidelines.”
Procedural Posture
- SOR issuedDec 1, 2010
- Answer filedJan 11, 2011
- Hearing heldMar 8, 2011Applicant testified and presented evidence.
- Decision dateJun 28, 2011
Cite For
- Insufficient Evidence of Financial Responsibility Under Guideline F
- Failure to Demonstrate Good-faith Efforts in Debt Resolution
- Financial Overextension as a Disqualifying Factor for Security Clearance