Summary
A 53-year-old defense contractor technician was denied a security clearance under Guideline F (Financial Considerations) due to significant delinquent debts. The Statement of Reasons detailed 17 outstanding debts totaling $111,003. This amount included three federal tax liens totaling $56,793 and two state tax liens totaling $17,473. All listed debts remained unpaid or unresolved at the time of the decision.
Disqualifying conditions under Guideline F were raised, specifically concerning the applicant's history of not meeting financial obligations and an inability or unwillingness to satisfy debts. While several mitigating conditions were considered, they were ultimately not sufficient to overcome the security concerns.
The denial was based on the applicant's failure to resolve the 17 delinquent debts, which included substantial tax liens. The applicant did not provide evidence of financial counseling or demonstrate concrete efforts to address these outstanding obligations, leading to concerns about reliability and trustworthiness.
Why the Applicant Was Denied
- The applicant accumulated 17 delinquent debts totaling $111,003, including federal and state tax liens.
- All debts remain unpaid or unresolved, raising security concerns about reliability and trustworthiness.
- The applicant did not provide evidence of financial counseling or efforts to resolve debts.
Conditions Referenced
- AG ¶ 19(a)raisedInability or Unwillingness to Satisfy Debts
- AG ¶ 19(c)raisedHistory of Not Meeting Financial Obligations
- AG ¶ 20(b)rejectedConditions Largely Beyond the Person's ControlWhile the applicant's financial problems were attributed to unemployment and a business failure, he did not demonstrate responsible actions to address the debts.
- AG ¶ 20(c)rejectedReceived or Receiving CounselingThe applicant did not provide evidence of participation in financial or credit counseling.
- AG ¶ 20(d)rejectedGood-faith Effort to Repay DebtsThere was no evidence of any good-faith effort to resolve the debts.
- AG ¶ 20(e)rejectedDispute Legitimacy of DebtsThe applicant did not dispute any delinquent debt.
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 issuedJun 5, 2013
- Answer filedJul 31, 2013Applicant requested a decision on the written record.
- Hearing held—No hearing; case decided on the written record.
- Decision dateNov 26, 2013
Cite For
- Denial of Security Clearance Due to Unresolved Financial Obligations
- Impact of Financial Delinquencies on Security Clearance Eligibility
- Failure to Demonstrate Responsible Financial Behavior as a Disqualifying Factor