Summary
A 51-year-old graphic artist employed by a defense contractor was denied a security clearance due to concerns under Guideline F (Financial Considerations) and Guideline E (Personal Conduct). The applicant faced allegations of multiple delinquent debts, including a judgment for $5,958.00 and other outstanding amounts of $270.00, $75.00, $102.00, $964.00, $840.00, $2,184.00, $4,418.00, $45.00, and $283.00.
The denial was based on a history of financial irresponsibility, including a Chapter 7 bankruptcy and ongoing debts exceeding $35,000. Additionally, the applicant engaged in personal conduct violations, specifically tax fraud and time card fraud, which demonstrated poor judgment and unreliability.
While the applicant attempted to address some debts through Chapter 13 bankruptcy and showed some positive changes, the judge found insufficient evidence of financial rehabilitation. Ultimately, the applicant had not established a sufficient track record of financial responsibility or reliability, leading to the denial of the security clearance.
Why the Applicant Was Denied
- The applicant has a history of financial irresponsibility, including a Chapter 7 bankruptcy and ongoing debts exceeding $35,000.
- The applicant engaged in personal conduct violations, including tax fraud and time card fraud, demonstrating poor judgment and unreliability.
- The applicant has not yet established a sufficient track record of financial responsibility or rehabilitation.
Conditions Referenced
- 19.(a)raisedInability or Unwillingness to Satisfy Debts
- 19.(c)raisedA History of Not Meeting Financial Obligations
- 16.(c)raisedCredible Adverse Information in Several Adjudicative Issue Areas
- 20.(c)appliedThe Person Has Received or Is Receiving Counseling for the Problem And/or There Are Clear Indications That the Problem Is Being Resolved or Is Under Control
- 20.(d)appliedThe Individual Initiated a Good-faith Effort to Repay Overdue Creditors or Otherwise Resolve Debts
- 17.(d)rejectedThe Individual Has Acknowledged the Behavior and Obtained Counseling to Change the Behavior or Taken Other Positive Steps to Alleviate the StressorsWhile the applicant acknowledged her behavior and took steps to change, the judge found these efforts insufficient to mitigate the disqualifying conditions.
Key Rule Quoted
“The adjudicative process is the careful weighing of a number of variables known as the whole person concept.”
Procedural Posture
- SOR issuedJul 19, 2011
- Answer filedAug 31, 2011
- Hearing heldJan 18, 2012
- Decision dateFeb 29, 2012
Cite For
- Financial Irresponsibility Under Guideline F
- Personal Conduct Violations Under Guideline E
- Insufficient Evidence of Financial Rehabilitation Leading to Denial of Security Clearance.