Summary
The applicant, a 49-year-old female, faced security concerns under Guideline F due to financial difficulties, including eight delinquent debts totaling approximately $82,266. Despite some efforts to make payments and dispute certain debts, the judge found insufficient evidence of responsible financial management or a realistic plan to resolve the debts, leading to a denial of her security clearance.
Under Guideline F (Financial Considerations), the Statement of Reasons alleged the following: The debt in SOR ¶ 1.a ($7,897) was for a car loan (1.a). The debt is SOR ¶ 1.b ($8,812) is for unpaid rent on an apartment after Applicant vacated the premises (1.b). The debt in SOR ¶ 1.c ($407) is a medical debt (1.c). Applicant disputes the debt in SOR ¶ 1.d ($1,000) (1.d). The debt in SOR ¶ 1.e ($8,149) is for a loan Applicant secured in 2005 (1.e). The debts in SOR ¶¶ 1.f ($11,000) and 1.g ($14,000) are for car loans from a credit union (1.f). The debts in SOR ¶¶ 1.f ($11,000) and 1.g ($14,000) are for car loans from a credit union (1.g). The debt in SOR ¶ 1.h ($31,000) is for a repossessed mobile home (1.h).
The judge denied the clearance. The government raised disqualifying conditions AG ¶ 19(a), AG ¶ 19(c). The judge applied mitigating conditions AG ¶ 20(b), AG ¶ 20(d), AG ¶ 20(e). The decision turned on the following: Applicant has numerous delinquent debts totaling over $80,000, indicating an inability to satisfy financial obligations; Applicant did not provide sufficient evidence of a realistic plan to resolve her financial issues; Applicant has not sought financial counseling and has made minimal payments on her debts.
Why the Applicant Was Denied
- Applicant has numerous delinquent debts totaling over $80,000, indicating an inability to satisfy financial obligations.
- Applicant did not provide sufficient evidence of a realistic plan to resolve her financial issues.
- Applicant has not sought financial counseling and has made minimal payments on her debts.
Conditions Referenced
- AG ¶ 19(a)appliedInability or Unwillingness to Satisfy Debts
- AG ¶ 19(c)appliedA History of Not Meeting Financial Obligations
- AG ¶ 20(b)appliedConditions That Resulted in the Financial Problem Were Largely Beyond the Person's ControlApplicant attributed her financial issues to being the sole provider for her family and a short period of unemployment.
- AG ¶ 20(d)appliedGood-faith Effort to Repay Overdue CreditorsApplicant has made consistent payments on some debts.
- AG ¶ 20(e)appliedDispute of the Legitimacy of the Past-due DebtApplicant disputed certain debts and provided documentation of her disputes.
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 14, 2013
- Answer filedAug 2, 2013
- Hearing heldDec 4, 2013Hearing delayed due to Federal Government shutdown.
- Decision dateDec 18, 2013
Cite For
- Financial Responsibility Under Guideline F
- Impact of Financial Difficulties on Security Clearance Eligibility
- Importance of Demonstrating a Realistic Plan for Debt Resolution