Summary
A 44-year-old field system engineer with prior military service was denied a security clearance under Guideline F, Financial Considerations. The denial stemmed from nine outstanding debts totaling $91,149, with no voluntary payments made to creditors since 2011. Specific allegations included two student loan debts of $37,833 and $24,341, a charged-off credit card debt of $4,385, a claimed debt of $5,224 from an employer, and a credit card collection account of $6,723.
Disqualifying conditions under Guideline F were raised, while several mitigating conditions were considered. However, the applicant's substantial income in 2013 did not translate into demonstrated efforts to address his financial obligations.
The Adjudicator concluded that the applicant's failure to make voluntary payments since 2011, despite his income, indicated a lack of progress in resolving his debts. This led to unmitigated concerns regarding his reliability and trustworthiness, resulting in the denial of his security clearance.
Why the Applicant Was Denied
- The applicant has not made any voluntary payments to creditors since 2011.
- The applicant's income was substantial, yet he did not demonstrate efforts to address his debts.
- The applicant's financial issues raised concerns about his reliability and trustworthiness.
Conditions Referenced
- AG ¶ 19(a)raisedInability or Unwillingness to Satisfy Debts
- AG ¶ 19(c)raisedA History of Not Meeting Financial Obligations
- AG ¶ 20(a)rejectedBehavior Happened Long Ago or InfrequentlyThe applicant's financial issues are ongoing and significant.
- AG ¶ 20(b)rejectedConditions Largely Beyond the Person's ControlThe applicant did not demonstrate that his financial problems were beyond his control.
- AG ¶ 20(c)rejectedReceived or Receiving CounselingThe applicant has not received financial counseling.
- AG ¶ 20(d)rejectedGood-faith Effort to Repay CreditorsThe applicant has not made any payments or shown a good-faith effort to resolve debts.
- AG ¶ 20(e)rejectedReasonable Basis to Dispute DebtThe applicant did not provide sufficient evidence to dispute the legitimacy of his debts.
Key Rule Quoted
“Eligibility for a security clearance is predicated upon the applicant meeting the criteria contained in the revised adjudicative guidelines.”
Procedural Posture
- SOR issuedMay 26, 2015
- Answer filedJun 29, 2015
- Hearing heldAug 27, 2015
- Decision dateJan 28, 2016
Cite For
- Denial of Security Clearance Due to Significant Financial Issues Under Guideline F
- Failure to Demonstrate Good-faith Efforts to Resolve Debts
- Ongoing Financial Obligations Impacting Security Clearance Eligibility