Summary
A 41-year-old federal contractor was denied a security clearance under Guideline F (Financial Considerations) due to unresolved delinquent debts totaling approximately $29,514. The applicant, employed since 2009, attributed his financial difficulties to excessive alcohol use and poor financial management.
The Statement of Reasons detailed six specific debts. For a $970 debt, the applicant claimed payment but provided no proof. He believed a $79 debt was fraudulent but offered no evidence of dispute or resolution. He denied a $258 debt as charged off and an $817 debt due to lack of awareness, providing no information on actions taken for either. The applicant admitted to a $2,186 debt but stated he had no intention of paying it, and acknowledged a $25,204 debt for a repossessed vehicle, claiming inability to pay.
Despite several potential mitigating conditions being considered, the clearance was denied. The decision highlighted the applicant's six unresolved delinquent debts, his admission of ignoring financial obligations due to excessive alcohol consumption, and his failure to provide evidence of efforts to resolve his debts or demonstrate financial responsibility.
Why the Applicant Was Denied
- Applicant has six delinquent debts totaling approximately $29,514, which are unresolved.
- He admitted to ignoring debts while consuming excessive alcohol, which negatively impacted his financial obligations.
- Applicant did not provide evidence of actions taken to resolve his debts or demonstrate financial responsibility.
Conditions Referenced
- AG ¶ 19(a)raisedInability or Unwillingness to Satisfy Debts
- AG ¶ 19(c)raisedA History of Not Meeting Financial Obligations
- AG ¶ 20(b)appliedConditions That Resulted in the Financial Problem Were Largely Beyond the Person's ControlApplicant's underemployment and unemployment contributed to his financial problems, but he did not act responsibly thereafter.
- AG ¶ 20(a)rejectedBehavior Happened so Long Ago, Was Infrequent, or Occurred Under Circumstances Unlikely to RecurDebts are recent and cast doubt on his reliability.
- AG ¶ 20(c)rejectedReceived Counseling for the ProblemNo evidence of financial counseling was provided.
- AG ¶ 20(d)rejectedGood-faith Effort to Repay Overdue CreditorsNo evidence of good-faith efforts to resolve debts was presented.
- AG ¶ 20(e)rejectedReasonable Basis to Dispute the Legitimacy of the Past-due DebtApplicant failed to provide documented proof to substantiate disputes.
Key Rule Quoted
“Any doubt concerning personnel being considered for access to classified information will be resolved in favor of national security.”
Procedural Posture
- SOR issuedMay 5, 2014
- Answer filedUndatedApplicant elected to have the case decided on the written record.
- Hearing heldN/ANo hearing; decided on written record.
- Decision dateMay 29, 2015
Cite For
- Failure to Mitigate Financial Considerations Under Guideline F
- Impact of Excessive Alcohol Use on Financial Obligations
- Importance of Providing Evidence of Debt Resolution Efforts