Summary
A 52-year-old office management specialist, employed by a defense contractor, was denied a security clearance under Guideline F (Financial Considerations) due to a history of delinquent debts totaling approximately $26,000. The Statement of Reasons detailed multiple unpaid tax liens, a $7,152 collection account for unpaid rent, several unpaid medical accounts totaling over $300, and two unpaid wireless accounts. Additionally, an unpaid 2007 judgment for $1,303, a $5,009 collection account from a 2007 auto repossession, and a $250 collection account were cited. The applicant denied a $400 cash loan from 2007.
Disqualifying conditions included a history of not meeting financial obligations, an inability or unwillingness to satisfy debts, and a pattern of financial irresponsibility. While mitigating conditions acknowledged that the financial problems were not recent and that the applicant had initiated some efforts to resolve the debts, these were deemed insufficient.
The denial was based on the applicant's persistent financial problems, including multiple delinquent debts and tax liens. The judge found that she failed to present a realistic plan to resolve her obligations or to take timely action after being notified of the issues in 2011. Her reliance on disputing debts rather than paying them, coupled with a lack of financial counseling, contributed to the decision to deny her security clearance.
Why the Applicant Was Denied
- The applicant has a history of financial problems, including multiple delinquent debts and tax liens.
- She failed to demonstrate a realistic plan to resolve her debts or to take timely action to address her financial issues after being notified of them in 2011.
- The applicant's reliance on disputing debts rather than paying them and her lack of financial counseling contributed to the denial.
Conditions Referenced
- AG ¶ 19(a)raisedInability or Unwillingness to Satisfy Debts
- AG ¶ 19(c)raisedA History of Not Meeting Financial Obligations
- AG ¶ 19(g)raisedFailure to File Annual Federal, State, or Local Income Tax Returns as Required
- AG ¶ 20(d)rejectedThe Individual Initiated a Good-faith Effort to Repay Overdue Creditors or Otherwise Resolve DebtsThe applicant's actions were insufficient to demonstrate a good-faith effort to resolve her debts.
- AG ¶ 20(e)rejectedThe Individual Has a Reasonable Basis to Dispute the Legitimacy of the Past-due DebtThe applicant did not provide sufficient evidence to substantiate her 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 issuedJun 20, 2013
- Answer filedTimely
- Hearing heldSep 27, 2013
- Decision dateOct 28, 2013
Cite For
- Insufficient Evidence of Financial Responsibility Under Guideline F
- Lack of a Realistic Plan to Resolve Financial Obligations
- Reliance on Disputing Debts Rather Than Making Payments as a Factor in Denial