Summary
This case concerns a 59-year-old engineering project manager and retired Army major whose security clearance application raised concerns under Guideline E (Personal Conduct) and Guideline F (Financial Considerations). The Statement of Reasons alleged that the applicant failed to file federal and state income tax returns from 2000 to 2011, resulting in a tax lien and wage garnishment, and demonstrated a history of not meeting financial obligations. Additionally, the government alleged two incidents of falsification on his 2006 SF-86, where he answered "no" to questions about delinquent debts despite his tax issues.
Disqualifying conditions cited included F.19(a), F.19(c), F.19(g), E.16(a), and E.16(e). However, the judge applied mitigating conditions F.20(a), F.20(c), and E.17(d). The applicant took responsibility for his past tax issues, paid off his tax debt in full, and filed all overdue tax returns with professional assistance after his wages were garnished.
The judge found the applicant's explanations regarding omissions on his security clearance application credible, concluding there was no intent to falsify. Given the substantial steps taken to rectify his financial issues and the credible testimony, the security clearance was GRANTED.
Why the applicant prevailed
- The applicant took responsibility for his past tax issues and paid off his tax debt in full.
- He filed all overdue tax returns with the assistance of a tax professional after the IRS garnished his wages.
- The applicant's credible testimony indicated no intent to falsify his security clearance application.
Conditions referenced
- F.19(a)raisedInability or Unwillingness to Satisfy Debts
- F.19(c)raisedA History of Not Meeting Financial Obligations
- F.19(g)raisedFailure to File Annual Federal, State, or Local Income Tax Returns as Required
- E.16(a)raisedDeliberate Omission, Concealment, or Falsification of Relevant Facts
- E.16(e)raisedPersonal Conduct That Creates a Vulnerability to Exploitation
- F.20(a)appliedThe Behavior Happened so Long Ago, Was so Infrequent, or Occurred Under Such Circumstances That It Is Unlikely to Recur
- F.20(c)appliedThe 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 Control
- E.17(d)appliedThe Individual Has Acknowledged the Behavior and Obtained Counseling to Change the Behavior
Key rule quoted
“The guidelines presume a nexus or rational connection between proven conduct under any of the criteria listed therein and an applicant’s security suitability.”
Procedural posture
- SOR issuedMar 13, 2014Applicant received SOR on March 18, 2014.
- Answer filedApr 5, 2014
- Hearing heldJun 10, 2014Hearing was convened as scheduled.
- Decision dateJul 16, 2014Record closed on this date.
Cite for
- Mitigating Conditions for Financial Considerations Under Guideline F
- Credibility of Applicant's Testimony Regarding Intent in Personal Conduct
- Resolution of Tax Issues as a Mitigating Factor in Security Clearance Cases