Summary
A 63-year-old security response agent was denied a security clearance under Guideline F (Financial Considerations) due to significant unaddressed debts. The Statement of Reasons detailed a federal income tax debt of approximately $57,000 for tax years 2008 and 2012, a judgment for about $10,511 from a delinquent credit card, and a judgment for approximately $64,318 for delinquent student loans. Additionally, a delinquent medical bill for $174 was cited.
The judge found that the applicant's financial irresponsibility and failure to address these debts raised serious questions about his reliability and trustworthiness. Disqualifying conditions under AG ¶ 19(a) and AG ¶ 19(c) were raised. While mitigating conditions AG ¶ 20(a), AG ¶ 20(b), AG ¶ 20(c), AG ¶ 20(d), and AG ¶ 20(e) were applied, they were insufficient to overcome the concerns.
The denial was based on the applicant's numerous and recent unaddressed debts. The judge noted that the applicant chose to spend discretionary income on vacations instead of resolving his financial obligations and had not sought financial counseling or taken steps to control his financial problems.
Why the Applicant Was Denied
- The applicant has numerous and recent debts that he has not addressed responsibly.
- He chose to spend discretionary income on vacations rather than resolving his debts.
- The applicant has not sought financial counseling or taken steps to control his financial problems.
Conditions Referenced
- AG ¶ 19(a)appliedInability or Unwillingness to Satisfy Debts
- AG ¶ 19(c)appliedA History of Not Meeting Financial Obligations
- AG ¶ 20(a)rejectedBehavior Happened so Long Ago, Was Infrequent, or Occurred Under Circumstances Unlikely to Recur
- AG ¶ 20(b)rejectedConditions That Resulted in Financial Problems Were Largely Beyond the Person's Control
- AG ¶ 20(c)rejectedReceived or Is Receiving Counseling for the Problem
- AG ¶ 20(d)appliedInitiated a Good-faith Effort to Repay Overdue Creditors
- AG ¶ 20(e)rejectedHas a Reasonable Basis to Dispute the Legitimacy of the Past-due Debt
Key Rule Quoted
“Eligibility for a security clearance is predicated upon the applicant meeting the criteria contained in the AG.”
Procedural Posture
- SOR issuedMay 12, 2014
- Answer filedMay 20, 2014
- Hearing heldOct 28, 2014
- Decision dateNov 26, 2014
Cite For
- Financial Irresponsibility Under Guideline F
- Impact of Lifestyle Choices on Financial Obligations
- Failure to Seek Financial Counseling as a Negative Factor in Security Clearance Determinations