Summary
The applicant, a 37-year-old engineer technician with a Bachelor's Degree in Electrical Engineering, faced issues under Guideline F (Financial Considerations) due to significant outstanding debts totaling over $26,000. Despite acknowledging some financial difficulties stemming from a job layoff and co-signing for a girlfriend's debt, the applicant failed to provide sufficient evidence of debt resolution or financial rehabilitation, leading to a denial of his security clearance application.
Under Guideline F (Financial Considerations), the Statement of Reasons alleged the following: A debt owed to a creditor in the amount of $40.00 remains outstanding (1.a). A debt owed to a creditor in the amount of $4,243 remains owing (1.b). A debt owed to a creditor in the amount of $10,000 remains owing (1.c). A debt owed to a creditor in the amount of $1,280 has been paid (1.d). A debt owed to a creditor in the amount of $534 remains owing (1.e). A debt owed to a creditor in the amount of $3,398 remains owing (1.f). A debt owed to a creditor in the amount of $1,979 has been paid (1.g). A debt owed to a creditor in the amount of $451 has been paid (1.h). A debt owed to a creditor in the amount of $1,197 remains owing (1.i).
The judge denied the clearance. The government raised disqualifying conditions 19.(a), 19.(c). The judge applied mitigating conditions 20.(b). The decision turned on the following: The applicant has significant outstanding debts totaling over $26,000; He failed to provide documentary evidence of debt payments claimed to have been made; The applicant has not demonstrated sufficient financial responsibility or rehabilitation.
Why the Applicant Was Denied
- The applicant has significant outstanding debts totaling over $26,000.
- He failed to provide documentary evidence of debt payments claimed to have been made.
- The applicant has not demonstrated sufficient financial responsibility or rehabilitation.
Conditions Referenced
- 19.(a)raisedInability or Unwillingness to Satisfy Debts
- 19.(c)raisedA History of Not Meeting Financial Obligations
- 20.(b)appliedThe Conditions That Resulted in the Financial Problem Were Largely Beyond the Person’s ControlThe applicant's job layoff and co-signing for a girlfriend's debt contributed to his financial issues.
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 7, 2011
- Answer filedMay 3, 2011
- Hearing heldJul 19, 2011
- Decision dateSep 29, 2011
Cite For
- Financial Irresponsibility Under Guideline F
- Lack of Evidence for Debt Resolution
- Importance of Demonstrating Financial Rehabilitation for Security Clearance Eligibility