Summary
A 40-year-old defense contractor employee was denied a security clearance under Guideline F (Financial Considerations) due to a history of financial difficulties. The Statement of Reasons alleged 14 delinquent debts totaling $43,299, which the applicant admitted owing. Disqualifying conditions F.1.a and F.1.c were raised.
The applicant attributed her financial issues to unemployment and her husband's incarceration. However, the judge noted a 20-year history of accumulating delinquent debts, including two bankruptcies, the last occurring in 2005. Approximately $43,300 in delinquent debts remained unpaid or unresolved at the time of the decision.
Despite mitigating conditions F.2.a, F.2.b, F.2.c, F.2.d, and F.2.e being considered, the applicant did not provide evidence of financial counseling or a concrete plan to address her outstanding debts. The judge found insufficient evidence of rehabilitation or responsible financial management, leading to the denial of her security clearance application.
Why the Applicant Was Denied
- The applicant has a 20-year history of accumulating delinquent debts that she has been unable or unwilling to satisfy.
- She filed two bankruptcies, the last in 2005, and currently has about $43,300 of delinquent debts that remain unpaid or unresolved.
- The applicant did not present evidence of financial counseling or a plan to address her debts.
Conditions Referenced
- F.1.araisedInability or Unwillingness to Satisfy Debts
- F.1.craisedA History of Not Meeting Financial Obligations
- F.2.arejectedThe Behavior Happened so Long Ago, Was so Infrequent, or Occurred Under Such Circumstances That It Is Unlikely to RecurThe applicant's financial problems span the past twenty years and continue to the present.
- F.2.bappliedThe Conditions That Resulted in the Financial Problem Were Largely Beyond the Person’s ControlThe applicant experienced an 11-month period of unemployment and her husband's incarceration contributed to her financial delinquencies.
- F.2.crejectedThe Person Has Received or Is Receiving Counseling for the ProblemThe applicant did not present sufficient evidence of financial or credit counseling.
- F.2.drejectedThe Individual Initiated a Good-faith Effort to Repay Overdue Creditors or Otherwise Resolve DebtsThe applicant admitted each SOR-listed debt and did not demonstrate responsible actions to mitigate her financial issues.
- F.2.enotedThe Individual Has a Reasonable Basis to Dispute the Legitimacy of the Past-due Debt
Key Rule Quoted
“Any doubt concerning personnel being considered for access to classified information will be resolved in favor of the national security.”
Procedural Posture
- SOR issuedAug 10, 2012
- Answer filedAug 17, 2012
- Hearing held—Decided on the written record without a hearing.
- Decision dateJan 23, 2013
Cite For
- History of Financial Difficulties Under Guideline F
- Insufficient Evidence of Rehabilitation in Financial Matters
- Impact of Personal Circumstances on Financial Obligations