Summary
A 55-year-old former defense contractor employee was denied a security clearance due to concerns under Guideline B (Foreign Influence), Guideline E (Personal Conduct), and Guideline F (Financial Considerations). The denial stemmed from a history of financial irresponsibility and incidents of improper behavior during overseas employment.
Specifically, the applicant discharged over $250,000 in post-divorce debts through bankruptcy in 2011, having paid nothing toward them despite earning approximately $300,000 in 2009. He also failed to address a $13,761 student loan he cosigned with his son, only inquiring about his liability after the hearing, and listed it incorrectly as a $10,135 claim in his bankruptcy petition. These financial issues, coupled with admitted improper conduct during overseas employment, raised questions about his reliability and trustworthiness.
Despite the application of several mitigating conditions related to financial considerations, the applicant's overall financial history, including multiple bankruptcies and significant debts discharged without repayment, demonstrated a lack of responsible financial behavior. This, combined with the personal conduct issues, led to the conclusion that he posed a security risk, and his security clearance was denied.
Why the Applicant Was Denied
- Applicant's financial history included multiple bankruptcies and significant debts discharged without repayment.
- He failed to demonstrate responsible financial behavior despite earning a substantial income while in debt.
- Incidents of improper conduct during overseas employment raised questions about his reliability and trustworthiness.
Conditions Referenced
- F.19(a)raisedInability or Unwillingness to Satisfy Debts
- F.19(c)raisedA History of Not Meeting Financial Obligations
- E.16(b)raisedDeliberately Providing False or Misleading Information
- E.16(d)raisedCredible Adverse Information
- F.20(a)rejectedBehavior Happened so Long Ago or Was InfrequentApplicant's financial issues were recent and recurrent.
- F.20(b)rejectedConditions Largely Beyond the Person's ControlApplicant did not demonstrate that his financial problems were beyond his control.
- F.20(c)rejectedReceived Counseling for the ProblemInsufficient evidence of effective financial management post-counseling.
- F.20(d)rejectedGood-faith Effort to Repay Overdue CreditorsNo evidence of a good-faith effort to repay debts.
- F.20(e)rejectedReasonable Basis to Dispute Legitimacy of Past-due DebtApplicant admitted to the debts without valid disputes.
Key Rule Quoted
“The protection of the national security is the paramount consideration.”
Procedural Posture
- SOR issuedMar 19, 2013
- Answer filedApr 9, 2013
- Hearing heldSep 3, 2013reconvened after initial hearing on 07/30/2013 due to technical issues.
- Decision dateDec 18, 2013
Cite For
- Denial of Security Clearance Based on Financial Irresponsibility Under Guideline F
- Impact of Personal Conduct on Security Clearance Eligibility Under Guideline E
- Consideration of Foreign Influence in Security Clearance Decisions Under Guideline B.