ISCR Case 11-11087.h1

Case Headnote

ISCR Case No. 11-11087.h1

deniedApr 25, 2013· Hon. Matthew E. Malone· hearing

Summary

A 39-year-old information systems network engineer was denied a security clearance due to concerns under Guideline E (Personal Conduct) and Guideline F (Financial Considerations). The denial stemmed from unresolved debts exceeding $50,000 across 23 accounts and multiple instances of intentional false statements.

Specifically, the applicant was found to have concealed being fired from a federal contractor job in May 2007 and misrepresented the reasons for leaving another job in May 2005. He also provided false information regarding his employment record, denied receiving workplace reprimands despite three instances between June 2009 and January 2010, and falsified responses concerning a criminal arrest and alcohol-related law enforcement intervention. These misrepresentations occurred in both his May 2011 and February 2006 eQIP submissions, and he made similar false statements to a government investigator in May 2011.

The judge determined that the applicant failed to demonstrate responsible financial management, citing approximately $50,842 in unresolved debts despite a positive monthly cash flow. Furthermore, the applicant's repeated intentional false statements regarding his employment history and an arrest demonstrated a lack of candor during the security clearance process, leading to the denial of his application.

Why the Applicant Was Denied

Applicant has approximately $50,842 in unresolved debts from 23 accounts, indicating financial irresponsibility.
Applicant made multiple false official statements regarding his employment history and a 2011 arrest, demonstrating a lack of candor.
Despite having a positive monthly cash flow, the applicant has not made efforts to resolve his debts.

Conditions Referenced

Disqualifying

AG ¶ 19(a)raisedInability or Unwillingness to Satisfy Debts
AG ¶ 19(c)raisedA History of Not Meeting Financial Obligations
AG ¶ 16(a)raisedDeliberate Omission, Concealment, or Falsification of Relevant Facts
AG ¶ 16(b)raisedDeliberately Providing False or Misleading Information

Key Rule Quoted

“A security clearance decision is intended only to resolve whether it is clearly consistent with the national interest for an applicant to either receive or continue to have access to classified information.”
— Department of the Navy v. Egan, 484 U.S. 518 (1988)

Procedural Posture

SOR issuedNov 2, 2012
Answer filed—Applicant requested a decision without a hearing.
Hearing heldJan 5, 2013Both parties appeared as scheduled.
Decision dateApr 25, 2013

Cite For

Failure to Mitigate Financial Obligations Under Guideline F
Lack of Candor in Security Clearance Applications Under Guideline E
Impact of Unresolved Debts on Security Clearance Eligibility

Editorial summary generated for research. Not legal advice; not a prediction. Verify against the full decision before relying on any quoted language.

¶	Allegation	Finding	Conduct	Concealed Issue	Response	Disqualifying (¶16)	Mitigating applied (¶17)	Mitigation
2.a	Applicant’s response in section 13A (Employment/Unemployment Information) of his May 2011 eQIP was intended to conceal the fact he was fired from a federal contractor job in May 2007.	Against Applicant	Falsification Security FormFOUND DELIBERATE	Employment History	Denied	(a) deliberate omission, concealment, or falsification on a security form	—	—
2.b	Applicant also deliberately misrepresented the reasons he left a job in May 2005, which he listed at section 13A(6) of his May 2011 eQIP.	Against Applicant	Falsification Security FormFOUND DELIBERATE	Employment History	Denied	(a) deliberate omission, concealment, or falsification on a security form	—	—
2.c	Applicant deliberately provided false information in response to question 13C.1 (Employment Record) of his May 2011 eQIP.	Against Applicant	Falsification Security FormFOUND DELIBERATE	Employment History	Denied	(a) deliberate omission, concealment, or falsification on a security form	—	—
2.d	Applicant’s negative response to question 13C.2 (Have you received a written warning, been officially reprimanded, suspended, or disciplined for misconduct in the workplace?) of his May 2011 eQIP was deliberately false, because he received three written reprimands from his current employer between June 2009 and January 2010.	For Applicant	Falsification Security Form	—	Denied	—	—	—
2.e	Applicant deliberately falsified his responses to questions 22.b (Have you been arrested by any police officer, sheriff, marshal, or any type of law enforcement officer?) of his May 2011 eQIP.	Against Applicant	Falsification Security FormFOUND DELIBERATE	Criminal Conduct	Denied	(a) deliberate omission, concealment, or falsification on a security form	—	—
2.f	Applicant deliberately falsified his responses to question 24.a (In the last 7 years, has your use of alcohol . . . resulted in intervention by law enforcement/public safety personnel?) of his May 2011 eQIP.	Against Applicant	Falsification Security FormFOUND DELIBERATE	Alcohol	Denied	(a) deliberate omission, concealment, or falsification on a security form	—	—
2.g	Applicant deliberately falsified his February 1, 2006 eQIP by answering “no” to question 13C, omitting the fact he was fired from his job in May 2005.	Against Applicant	Falsification Security FormFOUND DELIBERATE	Employment History	Denied	(a) deliberate omission, concealment, or falsification on a security form	—	—
2.h	Applicant deliberately made false statements to a Government investigator during a subject interview on May 27, 2011, by stating that he voluntarily resigned from his job in May 2007.	Against Applicant	Lack of Candor in InterviewFOUND DELIBERATE	—	Denied	(a) deliberate omission, concealment, or falsification on a security form	—	—
2.i	Applicant deliberately made false statements to a Government investigator during a subject interview on May 27, 2011, by stating that he voluntarily resigned from his job in May 2005.	Against Applicant	Lack of Candor in InterviewFOUND DELIBERATE	—	Denied	(a) deliberate omission, concealment, or falsification on a security form	—	—

Allegation

Finding

Conduct

Concealed Issue

Response

Disqualifying (¶16)

Mitigating applied (¶17)

Mitigation

2.a

Applicant’s response in section 13A (Employment/Unemployment Information) of his May 2011 eQIP was intended to conceal the fact he was fired from a federal contractor job in May 2007.

Against Applicant

Falsification Security FormFOUND DELIBERATE

Employment History

Denied

(a) deliberate omission, concealment, or falsification on a security form

—

2.b

Applicant also deliberately misrepresented the reasons he left a job in May 2005, which he listed at section 13A(6) of his May 2011 eQIP.

Against Applicant

Falsification Security FormFOUND DELIBERATE

Employment History

Denied

(a) deliberate omission, concealment, or falsification on a security form

—

2.c

Applicant deliberately provided false information in response to question 13C.1 (Employment Record) of his May 2011 eQIP.

Against Applicant

Falsification Security FormFOUND DELIBERATE

Employment History

Denied

(a) deliberate omission, concealment, or falsification on a security form

—

2.d

Applicant’s negative response to question 13C.2 (Have you received a written warning, been officially reprimanded, suspended, or disciplined for misconduct in the workplace?) of his May 2011 eQIP was deliberately false, because he received three written reprimands from his current employer between June 2009 and January 2010.

For Applicant

Falsification Security Form

—

Denied

—

2.e

Applicant deliberately falsified his responses to questions 22.b (Have you been arrested by any police officer, sheriff, marshal, or any type of law enforcement officer?) of his May 2011 eQIP.

Against Applicant

Falsification Security FormFOUND DELIBERATE

Criminal Conduct

Denied

(a) deliberate omission, concealment, or falsification on a security form

—

2.f

Applicant deliberately falsified his responses to question 24.a (In the last 7 years, has your use of alcohol . . . resulted in intervention by law enforcement/public safety personnel?) of his May 2011 eQIP.

Against Applicant

Falsification Security FormFOUND DELIBERATE

Alcohol

Denied

(a) deliberate omission, concealment, or falsification on a security form

—

2.g

Applicant deliberately falsified his February 1, 2006 eQIP by answering “no” to question 13C, omitting the fact he was fired from his job in May 2005.

Against Applicant

Falsification Security FormFOUND DELIBERATE

Employment History

Denied

(a) deliberate omission, concealment, or falsification on a security form

—

2.h

Applicant deliberately made false statements to a Government investigator during a subject interview on May 27, 2011, by stating that he voluntarily resigned from his job in May 2007.

Against Applicant

Lack of Candor in InterviewFOUND DELIBERATE

—

Denied

(a) deliberate omission, concealment, or falsification on a security form

—

2.i

Applicant deliberately made false statements to a Government investigator during a subject interview on May 27, 2011, by stating that he voluntarily resigned from his job in May 2005.

Against Applicant

Lack of Candor in InterviewFOUND DELIBERATE

—

Denied

(a) deliberate omission, concealment, or falsification on a security form

—

¶	Allegation	Finding	Type	Response	Disqualifying (¶19)	Mitigating applied (¶20)	Mitigation
1.a	Applicant owes approximately $50,842 in past-due debts for 23 accounts specified in SOR 1.a - 1.w. $50,842	Against Applicant	Unspecified Financial	Unknown	(a) inability to satisfy debts (c) a history of not meeting financial obligations	—	—
1.p	specific text not stated in this decision	For Applicant	Unspecified Financial	Unknown	—	—	—

Allegation

Finding

Type

Response

Disqualifying (¶19)

Mitigating applied (¶20)

Mitigation

1.a

Applicant owes approximately $50,842 in past-due debts for 23 accounts specified in SOR 1.a - 1.w.

$50,842

Against Applicant

Unspecified Financial

Unknown

(a) inability to satisfy debts

(c) a history of not meeting financial obligations

—

1.p

specific text not stated in this decision

For Applicant

Unspecified Financial

Unknown

—

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Case Profile

Summary

Why the Applicant Was Denied

Conditions Referenced

Key Rule Quoted

Procedural Posture

Cite For

Full decision

DEFENSE OFFICE OF HEARINGS AND APPEALS

HEARING

APPEARANCES

STATEMENT OF CASE

FINDINGS OF FACT

POLICIES

ANALYSIS

WHOLE PERSON CONCEPT

FORMAL FINDINGS

CONCLUSION

FOOTNOTES