ISCR Case 13-00081.h1

Case Headnote

ISCR Case No. 13-00081.h1

deniedNov 27, 2013· Hon. LeRoy F. Foreman· hearing

Summary

A 50-year-old sheet-metal mechanic was denied a security clearance due to concerns under Guidelines E (Personal Conduct), F (Financial Considerations), H (Drug Involvement), and J (Criminal Conduct). The Statement of Reasons (SOR) detailed his past drug involvement, including smoking crack cocaine weekly from late 2002 to early 2003 while holding a clearance. He was also arrested and charged with a felony for purchasing crack cocaine in April 2003, pleading guilty to a deferred disposition, with charges dismissed in January 2005. Additionally, he tested positive in a court-ordered drug screen while cleared and failed to notify his employer of his drug involvement.

The applicant successfully mitigated concerns related to drug use and criminal conduct. However, significant financial issues remained unaddressed. He was indebted to the IRS for approximately $16,445 in unpaid taxes and had not filed tax returns for several years.

The denial was primarily based on his financial irresponsibility, specifically the outstanding federal tax debt and failure to file returns. His admission of procrastination in addressing these tax obligations and lack of financial counseling undermined his claims of good faith efforts to resolve his debts.

Why the Applicant Was Denied

The applicant has approximately $16,445 in unpaid federal taxes and did not file tax returns for several years, indicating financial irresponsibility.
He admitted to procrastination in addressing his tax obligations and did not seek financial counseling, which undermined his claims of good faith efforts to resolve his debts.

Conditions Referenced

Disqualifying

AG ¶ 19(a)raisedInability or Unwillingness to Satisfy Debts
AG ¶ 19(c)raisedA History of Not Meeting Financial Obligations

Mitigating

AG ¶ 20(a)rejectedThe Behavior Happened so Long Ago, Was so Infrequent, or Occurred Under Such Circumstances That It Is Unlikely to RecurThe applicant's federal tax debt is ongoing and resulted from years of non-filing.
AG ¶ 20(b)rejectedConditions That Resulted in the Financial Problem Were Largely Beyond the Person's ControlThe applicant did not act responsibly in managing his financial obligations.
AG ¶ 20(d)rejectedInitiated a Good-faith Effort to Repay Overdue Creditors or Otherwise Resolve DebtsThe applicant procrastinated for nine years before contacting the IRS.

Key Rule Quoted

“Eligibility for a security clearance is predicated upon the applicant meeting the criteria contained in the AG.”

Procedural Posture

SOR issuedJul 1, 2013
Answer filedJul 15, 2013
Hearing heldSep 18, 2013
Decision dateNov 27, 2013Decision delayed due to furlough of administrative judges.

Cite For

Failure to Mitigate Financial Obligations Under Guideline F
Impact of Unpaid Taxes on Security Clearance Eligibility
Consideration of Personal Conduct in Relation to Financial Irresponsibility

Editorial summary generated for research. Not legal advice; not a prediction. Verify against the full decision before relying on any quoted language.

¶	Allegation	Finding	Conduct	Concealed Issue	Response	Disqualifying (¶16)	Mitigating applied (¶17)	Mitigation
3.a	The SOR cross-alleges the drug involvement in SOR ¶¶ 1.a-1.c under this guideline (SOR ¶ 3.a).	For Applicant	Pattern of Dishonesty or Rule Violations	—	Admitted	(c) credible adverse information across areas supporting a whole-person concern (d) pattern of dishonesty, rule violations, or other untrustworthy behavior (e) personal conduct or concealment creating vulnerability to exploitation	(c) offense is minor, long ago, infrequent, or unique circumstances (d) acknowledged the behavior; counseling/positive steps taken	Credited Acknowledgment and Remorse
3.b	It also alleges that Applicant failed to notify his employer about his drug involvement, as required (SOR ¶ 3.b).	For Applicant	Lack of Candor in Interview	—	Admitted	(c) credible adverse information across areas supporting a whole-person concern (d) pattern of dishonesty, rule violations, or other untrustworthy behavior (e) personal conduct or concealment creating vulnerability to exploitation	(c) offense is minor, long ago, infrequent, or unique circumstances (d) acknowledged the behavior; counseling/positive steps taken	Credited Acknowledgment and Remorse

Allegation

Finding

Conduct

Concealed Issue

Response

Disqualifying (¶16)

Mitigating applied (¶17)

Mitigation

3.a

The SOR cross-alleges the drug involvement in SOR ¶¶ 1.a-1.c under this guideline (SOR ¶ 3.a).

For Applicant

Pattern of Dishonesty or Rule Violations

—

Admitted

(c) credible adverse information across areas supporting a whole-person concern

(d) pattern of dishonesty, rule violations, or other untrustworthy behavior

(e) personal conduct or concealment creating vulnerability to exploitation

(c) offense is minor, long ago, infrequent, or unique circumstances

(d) acknowledged the behavior; counseling/positive steps taken

Credited

Acknowledgment and Remorse

3.b

It also alleges that Applicant failed to notify his employer about his drug involvement, as required (SOR ¶ 3.b).

For Applicant

Lack of Candor in Interview

—

Admitted

(c) credible adverse information across areas supporting a whole-person concern

(d) pattern of dishonesty, rule violations, or other untrustworthy behavior

(e) personal conduct or concealment creating vulnerability to exploitation

(c) offense is minor, long ago, infrequent, or unique circumstances

(d) acknowledged the behavior; counseling/positive steps taken

Credited

Acknowledgment and Remorse

¶	Allegation	Finding	Type	Response	Disqualifying (¶19)	Mitigating applied (¶20)	Mitigation
4.a	Applicant is indebted to the IRS for unpaid taxes of about $16,445. $16,445	Against Applicant	Tax Unpaid	Admitted	(a) inability to satisfy debts	—	—

Allegation

Finding

Type

Response

Disqualifying (¶19)

Mitigating applied (¶20)

Mitigation

4.a

Applicant is indebted to the IRS for unpaid taxes of about $16,445.

$16,445

Against Applicant

Tax Unpaid

Admitted

(a) inability to satisfy debts

—

¶	Allegation	Finding	Substance / event	Use level	Response	Disqualifying (¶25)	Mitigating applied (¶26)	Mitigation
1.a	The SOR alleges that Applicant smoked crack cocaine about one or two times a week during a six-month period from late 2002 to early 2003, while holding a security clearance.	For Applicant	CocaineWHILE CLEAREDSolitary Use	Frequent	Admitted	(a) any substance misuse (b) testing positive for an illegal drug (c) illegal possession, cultivation, manufacture, purchase, sale, or distribution; or paraphernalia (g) expressed intent to continue, or failure to commit to discontinue	(a) behavior happened long ago / infrequent / unlikely to recur (b) acknowledges involvement; evidence of action; established abstinence (d) satisfactory completion of treatment with a favorable prognosis	—
1.b	It also alleges that he was arrested and charged with a felony for purchasing crack cocaine in April 2003, while he held a security clearance; that he pleaded guilty and was granted a deferred disposition; and that the charges were dismissed in January 2005.	For Applicant	Drug Distribution or DealingWHILE CLEAREDRelated Misconduct	Not Applicable	Admitted	(a) any substance misuse (c) illegal possession, cultivation, manufacture, purchase, sale, or distribution; or paraphernalia	—	—
1.c	Finally, it alleges that he tested positive in a court-ordered drug screen while he held a security clearance.	For Applicant	Drug Test FailureWHILE CLEARED	Not Applicable	Admitted	(b) testing positive for an illegal drug	—	—

Allegation

Finding

Substance / event

Use level

Response

Disqualifying (¶25)

Mitigating applied (¶26)

Mitigation

1.a

The SOR alleges that Applicant smoked crack cocaine about one or two times a week during a six-month period from late 2002 to early 2003, while holding a security clearance.

For Applicant

CocaineWHILE CLEAREDSolitary Use

Frequent

Admitted

(a) any substance misuse

(b) testing positive for an illegal drug

(c) illegal possession, cultivation, manufacture, purchase, sale, or distribution; or paraphernalia

(g) expressed intent to continue, or failure to commit to discontinue

(a) behavior happened long ago / infrequent / unlikely to recur

(b) acknowledges involvement; evidence of action; established abstinence

(d) satisfactory completion of treatment with a favorable prognosis

—

1.b

It also alleges that he was arrested and charged with a felony for purchasing crack cocaine in April 2003, while he held a security clearance; that he pleaded guilty and was granted a deferred disposition; and that the charges were dismissed in January 2005.

For Applicant

Drug Distribution or DealingWHILE CLEAREDRelated Misconduct

Not Applicable

Admitted

(a) any substance misuse

(c) illegal possession, cultivation, manufacture, purchase, sale, or distribution; or paraphernalia

—

1.c

Finally, it alleges that he tested positive in a court-ordered drug screen while he held a security clearance.

For Applicant

Drug Test FailureWHILE CLEARED

Not Applicable

Admitted

(b) testing positive for an illegal drug

—

¶	Allegation	Finding	Offense	Criminal disposition	Response	Disqualifying (¶31)	Mitigating applied (¶32)	Mitigation
2.a	The SOR cross-alleges the drug involvement in SOR ¶¶ 1.a and 1.b under this guideline (SOR ¶ 2.a).	For Applicant	Drug Related Criminal Charge	Conduct No Charge	Admitted	(a) pattern of minor offenses casting doubt on judgment/reliability (c) currently on parole or probation	(a) so much time has passed, or unusual circumstances, that it is unlikely to recur (d) evidence of successful rehabilitation (time, restitution, employment, etc.)	Credited Passage of Time Credited No Subsequent Offenses

Allegation

Finding

Offense

Criminal disposition

Response

Disqualifying (¶31)

Mitigating applied (¶32)

Mitigation

2.a

The SOR cross-alleges the drug involvement in SOR ¶¶ 1.a and 1.b under this guideline (SOR ¶ 2.a).

For Applicant

Drug Related Criminal Charge

Conduct No Charge

Admitted

(a) pattern of minor offenses casting doubt on judgment/reliability

(c) currently on parole or probation

(a) so much time has passed, or unusual circumstances, that it is unlikely to recur

(d) evidence of successful rehabilitation (time, restitution, employment, etc.)

Credited

Passage of Time

Credited

No Subsequent Offenses

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Case Profile

Summary

Why the Applicant Was Denied

Conditions Referenced

Key Rule Quoted

Procedural Posture

Cite For

Full decision

DEFENSE OFFICE OF HEARINGS AND APPEALS

HEARING

APPEARANCES

STATEMENT OF CASE

FINDINGS OF FACT

POLICIES

ANALYSIS

WHOLE PERSON CONCEPT

FORMAL FINDINGS

CONCLUSION

FOOTNOTES