Summary
The applicant, a 39-year-old single mother employed by a defense contractor, faced concerns under Guideline E and Guideline F due to over $20,000 in delinquent debt and a felony conviction for grand theft. Despite some personal references supporting her trustworthiness, the judge found her financial issues unresolved and likely to recur, leading to a denial of her request for a position of trust.
Under Guideline E (Personal Conduct) and Guideline F (Financial Considerations), the Statement of Reasons alleged the following: Applicant's arrest and conviction for grand theft from her employer in 2006 requires application of the disqualifying condition at AG ¶ 16(c): credible adverse information in several adjudicative issue areas that is not sufficient for an adverse determination under any other single guideline, but which, when considered as a whole, supports a whole-person assessment of questionable judgment, untrustworthiness, unreliability, lack of candor, unwillingness to comply with rules and regulations, or other characteristics indicating that the person may not properly safeguard protected information (2.a). In August 2006, Applicant was arrested and convicted of felony grand theft after she, as a store cashier, allowed customers she knew to take merchandise for which they had not paid, and that she knowingly cashed bad checks (1.a). Applicant owes $21,070 for 24 unpaid debts (1.b).
The judge denied the clearance. The government raised disqualifying conditions AG ¶ 19(a), AG ¶ 19(c), AG ¶ 19(d). The judge applied mitigating conditions AG ¶ 20(a), AG ¶ 20(b), AG ¶ 20(c), AG ¶ 20(d), AG ¶ 20(e). The decision turned on the following: Applicant accrued over $20,000 in delinquent debt due to unemployment and medical expenses; Applicant was arrested and convicted of grand theft from her employer, indicating a lack of trustworthiness; Applicant has not established a repayment plan or budget for her debts, and her financial problems are likely to recur.
Why the Applicant Was Denied
- Applicant accrued over $20,000 in delinquent debt due to unemployment and medical expenses.
- Applicant was arrested and convicted of grand theft from her employer, indicating a lack of trustworthiness.
- Applicant has not established a repayment plan or budget for her debts, and her financial problems are likely to recur.
Conditions Referenced
- AG ¶ 19(a)raisedInability or Unwillingness to Satisfy Debts
- AG ¶ 19(c)raisedA History of Not Meeting Financial Obligations
- AG ¶ 19(d)raisedDeceptive or Illegal Financial Practices
- AG ¶ 20(a)rejectedBehavior Happened Long Ago or InfrequentlyApplicant's financial problems are ongoing and have not been resolved.
- AG ¶ 20(b)rejectedConditions Beyond the Person's ControlWhile some financial issues stemmed from unemployment, the applicant's arrest contributed to her financial instability.
- AG ¶ 20(c)rejectedReceiving Counseling for the ProblemApplicant only recently sought credit counseling and has not yet established a repayment plan.
- AG ¶ 20(d)rejectedGood-faith Effort to Repay CreditorsApplicant has not acted in good faith to resolve her debts in a timely manner.
- AG ¶ 20(e)rejectedReasonable Basis to Dispute DebtsApplicant did not provide evidence to dispute the validity of her debts.
Key Rule Quoted
“"A person who has access to sensitive information enters into a fiduciary relationship with the Government based on trust and confidence."”
Procedural Posture
- SOR issuedSep 17, 2013
- Answer filedDec 16, 2013Applicant's answer included a request for a hearing.
- Hearing heldJan 21, 2014Hearing conducted with applicant testifying.
- Decision dateMar 24, 2014
Cite For
- Disqualifying Conditions Related to Financial Issues Under Guideline F
- Personal Conduct Concerns Stemming From Criminal Behavior Under Guideline E
- The Importance of Timely Action in Resolving Financial Problems for Security Clearance Eligibility.