Summary
A 49-year-old external pilot for a defense contractor was denied a security clearance due to concerns under Guideline E (Personal Conduct) and Guideline F (Financial Considerations). The applicant admitted to personal conduct concerns and faced allegations related to significant delinquent tax debts and a history of unfiled tax returns.
Specifically, the applicant had four tax liens totaling $67,110, including an IRS lien from 2002 for $42,547, a state tax lien from 2003 for $19,681, another state tax lien from 2004 for $4,681, and an IRS tax lien from 2005 for $201. Additionally, the applicant failed to file federal and state income tax returns for multiple years between 1999 and 2010.
Despite some mitigating conditions being considered, the judge found insufficient evidence of the applicant's efforts to resolve these financial obligations, including a lack of proof of payments or repayment plans. Consequently, the applicant did not meet the necessary criteria for a security clearance, and the application was denied.
Why the Applicant Was Denied
- The applicant failed to file federal and state income tax returns for multiple years.
- The applicant has four delinquent tax liens totaling $67,110, with no evidence of payments or repayment plans.
- The applicant did not provide proof of efforts to resolve his financial obligations.
Conditions Referenced
- F.19(a)raisedInability or Unwillingness to Satisfy Debts
- F.19(c)raisedA History of Not Meeting Financial Obligations
- F.19(g)raisedFailure to File Annual Federal, State, or Local Income Tax Returns as Required
- E.16(e)appliedPersonal Conduct That Creates a Vulnerability to Exploitation
- F.20(b)rejectedConditions That Resulted in the Financial Problem Were Largely Beyond the Person’s ControlThe applicant did not demonstrate responsible actions to address his financial issues.
- F.20(c)rejectedThe Person Has Received or Is Receiving Counseling for the ProblemLimited evidence of counseling and no proof of progress in resolving debts.
- F.20(d)rejectedThe Individual Initiated a Good-faith Effort to Repay Overdue CreditorsThe applicant did not provide evidence of payments or repayment plans.
Key Rule Quoted
“Eligibility for a security clearance is predicated upon the applicant meeting the criteria contained in the adjudicative guidelines.”
Procedural Posture
- SOR issuedJun 16, 2011
- Answer filedJul 14, 2011Requested decision without a hearing.
- Hearing held—
- Decision dateOct 28, 2011
Cite For
- Denial of Security Clearance Due to Unresolved Financial Obligations
- Failure to File Tax Returns as a Disqualifying Condition
- Insufficient Evidence of Good-faith Efforts to Resolve Debts