Summary
A 70-year-old married electronic technician with 20 years of military service was denied a security clearance under Guideline F, Financial Considerations. The denial stemmed from over $51,000 in significant financial delinquencies, with approximately $43,126 in consumer credit obligations defaulted upon between 2009 and 2010.
The Statement of Reasons detailed eleven specific debts, including charged-off debts of $317, $635, $3,613, and $15,494, alongside collection debts totaling $8,706, $7,403, $2,627, $8,956, $2,110, $645, and $507. While the applicant made some efforts to reduce these debts, the decision noted insufficient documentation to corroborate claimed payments and the impact of his spouse's bankruptcy on his financial obligations.
Disqualifying conditions under Guideline F were raised, but mitigating conditions were also considered. Ultimately, the clearance was denied because the applicant's financial problems were deemed too recent and recurrent, preventing the application of mitigating conditions and raising concerns about his financial judgment and reliability.
Why the Applicant Was Denied
- Applicant defaulted on approximately $43,126 in consumer credit obligations between 2009 and 2010.
- Insufficient corroboration of claimed payments and debt resolution efforts.
- Financial problems were too recent and recurrent to apply mitigating conditions.
Conditions Referenced
- AG ¶ 19(a)raisedInability or Unwillingness to Satisfy Debts
- AG ¶ 19(c)raisedA History of Not Meeting Financial Obligations
- AG ¶ 20(a)rejectedThe Behavior Happened so Long Ago, Was so Infrequent, or Occurred Under Such Circumstances That It Is Unlikely to RecurFinancial problems were too recent and recurrent.
- AG ¶ 20(b)rejectedThe Conditions That Resulted in the Financial Problem Were Largely Beyond the Person’s ControlInsufficient evidence that financial issues were beyond the applicant's control.
- AG ¶ 20(c)rejectedThe Person Has Received or Is Receiving Counseling for the Problem And/or There Are Clear Indications That the Problem Is Being Resolved or Is Under ControlNo evidence of counseling or that debts were under control.
- AG ¶ 20(d)rejectedThe Individual Initiated a Good-faith Effort to Repay Overdue Creditors or Otherwise Resolve DebtsLack of corroboration for claimed payments and no evidence of agreements with creditors.
Key Rule Quoted
“The protection of the national security is the paramount consideration.”
Procedural Posture
- SOR issuedFeb 4, 2014
- Answer filedMar 7, 2014
- Hearing heldN/AApplicant declined a hearing.
- Decision dateMay 16, 2014
Cite For
- Insufficient Corroboration of Financial Claims Under Guideline F
- Recent and Recurrent Financial Issues Impacting Security Clearance
- Disqualifying Conditions Related to Financial Obligations Under AG ¶ 19