Summary
A 56-year-old senior systems administrator, employed by a defense contractor since 1998, was denied a security clearance under Guideline F (Financial Considerations) due to significant delinquent debts totaling over $92,000. The Statement of Reasons detailed two delinquent judgments amounting to approximately $12,000, five charged-off accounts totaling about $17,000, and sixteen additional delinquent accounts totaling approximately $63,000.
The denial was based on the applicant's failure to mitigate these financial concerns. Specifically, the judge found no evidence of payments made toward the delinquent debts, nor did the applicant demonstrate that her financial problems were under control or that she had a plan to address them. Furthermore, there was no showing of a good-faith effort to satisfy the debts, and the applicant had not received financial counseling.
The judge concluded that the applicant had not demonstrated that her financial obligations were being addressed, and that mitigating conditions related to documented payments or disputed debts did not apply. Consequently, the security clearance was denied.
Why the Applicant Was Denied
- Applicant has over $92,000 in delinquent debts, including judgments and charged-off accounts.
- No evidence was provided to show any payments made towards the delinquent debts.
- Applicant failed to demonstrate that her financial problems are under control or that she has a plan to address them.
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 so Long Ago, Was Infrequent, or Occurred Under Circumstances Unlikely to RecurDelinquent debts remain unpaid and are considered recent.
- AG ¶ 20(b)rejectedConditions That Resulted in Financial Problems Were Largely Beyond the Person's ControlLimited showing of circumstances beyond her control; no responsible actions taken.
- AG ¶ 20(c)rejectedReceived or Is Receiving Counseling for the ProblemApplicant has not received financial counseling.
- AG ¶ 20(d)rejectedInitiated a Good-faith Effort to Repay Overdue CreditorsNo documentation of payments on delinquent accounts.
- AG ¶ 20(e)rejectedReasonable Basis to Dispute the Legitimacy of the Past-due DebtAll debts are admitted and no disputes were raised.
Key Rule Quoted
“A person who seeks access to classified information enters into a fiduciary relationship with the Government predicated upon trust and confidence.”
Procedural Posture
- SOR issuedJul 14, 2014
- Answer filedUndatedApplicant elected to proceed without a hearing.
- Hearing heldN/ADecision made based on written record.
- Decision dateJun 24, 2015
Cite For
- Financial Irresponsibility as a Disqualifying Factor Under Guideline F
- Failure to Provide Evidence of Debt Management or Mitigation Efforts
- The Importance of Demonstrating Financial Responsibility for Security Clearance Eligibility