ISCR Case 14-04170.h1

Case Headnote

ISCR Case No. 14-04170.h1

deniedJan 19, 2016· Hon. Mary E. Henry· hearing

Summary

A 31-year-old engineering technician for a DOD contractor was denied a security clearance due to concerns under Guidelines E (Personal Conduct), F (Financial Considerations), and J (Criminal Conduct). The denial stemmed from unresolved financial debts, a history of criminal behavior, and questionable financial judgment.

Specifically, the applicant had three outstanding credit card debts totaling $3,169, $6,448, and $4,620, along with an unpaid phone bill of $174. These financial issues, totaling over $14,000, were compounded by a prior Chapter 7 bankruptcy and subsequent use of credit cards for living expenses. Additionally, the applicant had been arrested twice, once for drug possession, to which she pled guilty for marijuana and drug equipment possession, and once for misuse of a credit card.

While the applicant stated she last used marijuana over four years prior and now avoids illegal drugs, the judge found that the combined financial issues and past criminal conduct raised significant unmitigated security concerns regarding her judgment and reliability. Consequently, the security clearance was denied.

Why the Applicant Was Denied

The applicant has unresolved financial debts totaling over $14,000, indicating an inability to manage financial obligations.
The applicant's history of criminal conduct, including drug possession and misuse of a credit card, raises doubts about her judgment and reliability.
The applicant's questionable financial decisions, including using credit cards to pay for living expenses after a bankruptcy, demonstrate poor judgment.

Conditions Referenced

Disqualifying

AG ¶ 19(a)appliedInability or Unwillingness to Satisfy Debts
AG ¶ 31(a)appliedA Single Serious Crime or Multiple Lesser Offenses
AG ¶ 16(c)appliedCredible Adverse Information in Several Adjudicative Issue Areas

Mitigating

AG ¶ 20(b)appliedConditions Beyond the Person's ControlThe applicant's financial problems were largely due to insufficient income and lack of steady employment.
AG ¶ 32(d)appliedEvidence of Successful RehabilitationThe applicant has not used illegal drugs since 2011 and completed an adult diversion program for her credit card misuse.

Key Rule Quoted

“The protection of the national security is the paramount consideration.”

Procedural Posture

SOR issuedFeb 11, 2015
Answer filedMay 27, 2015
Hearing heldOct 21, 2015
Decision dateJan 19, 2016

Cite For

Denial of Security Clearance Due to Unresolved Financial Obligations Under Guideline F
Impact of Criminal Conduct on Security Clearance Eligibility Under Guideline J
Consideration of Personal Conduct and Judgment Issues Under Guideline E.

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	Applicant’s decision to use a customer’s credit card to purchase needed personal items showed a serious lapse of good judgment. Her continued use of credit cards to pay for living expenses after she had previously had unpaid credit card debt discharged in a Chapter 7 bankruptcy also raises questions about her judgment and could make her vulnerable to exploitation or pressure by a foreign security or intelligence service.	Against Applicant	Questionable Judgment General	—	Denied	(c) credible adverse information across areas supporting a whole-person concern (e) personal conduct or concealment creating vulnerability to exploitation	—	—

Allegation

Finding

Conduct

Concealed Issue

Response

Disqualifying (¶16)

Mitigating applied (¶17)

Mitigation

3.a

Applicant’s decision to use a customer’s credit card to purchase needed personal items showed a serious lapse of good judgment. Her continued use of credit cards to pay for living expenses after she had previously had unpaid credit card debt discharged in a Chapter 7 bankruptcy also raises questions about her judgment and could make her vulnerable to exploitation or pressure by a foreign security or intelligence service.

Against Applicant

Questionable Judgment General

—

Denied

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

(e) personal conduct or concealment creating vulnerability to exploitation

—

¶	Allegation	Finding	Type	Response	Disqualifying (¶19)	Mitigating applied (¶20)	Mitigation
1.a	Applicant has a credit card debt in the amount of $3,169. $3,169	Against Applicant	Credit Card Debt	Admitted	(a) inability to satisfy debts (c) a history of not meeting financial obligations	—	—
1.b	Applicant has a credit card debt in the amount of $6,448. $6,448	Against Applicant	Credit Card Debt	Admitted	(a) inability to satisfy debts (c) a history of not meeting financial obligations	—	—
1.c	Applicant has a credit card debt in the amount of $4,620. $4,620	Against Applicant	Credit Card Debt	Admitted	(a) inability to satisfy debts (c) a history of not meeting financial obligations	—	—
1.d	Applicant has an unpaid phone bill in the amount of $174. $174	Against Applicant	Unspecified Financial	Admitted	(a) inability to satisfy debts (c) a history of not meeting financial obligations	—	—
1.e–1.f	2 sub-charges — specific text not stated in this decision (1 against, 1 for the applicant). (low confidence)	Mixed			—	—	—

Allegation

Finding

Type

Response

Disqualifying (¶19)

Mitigating applied (¶20)

Mitigation

1.a

Applicant has a credit card debt in the amount of $3,169.

$3,169

Against Applicant

Credit Card Debt

Admitted

(a) inability to satisfy debts

(c) a history of not meeting financial obligations

—

1.b

Applicant has a credit card debt in the amount of $6,448.

$6,448

Against Applicant

Credit Card Debt

Admitted

(a) inability to satisfy debts

(c) a history of not meeting financial obligations

—

1.c

Applicant has a credit card debt in the amount of $4,620.

$4,620

Against Applicant

Credit Card Debt

Admitted

(a) inability to satisfy debts

(c) a history of not meeting financial obligations

—

1.d

Applicant has an unpaid phone bill in the amount of $174.

$174

Against Applicant

Unspecified Financial

Admitted

(a) inability to satisfy debts

(c) a history of not meeting financial obligations

—

1.e–1.f

2 sub-charges — specific text not stated in this decision (1 against, 1 for the applicant). (low confidence)

Mixed

—

¶	Allegation	Finding	Offense	Criminal disposition	Response	Disqualifying (¶31)	Mitigating applied (¶32)	Mitigation
2.a	The police arrested Applicant twice, once for drug possession and once for misuse of a credit card. Applicant pled guilty to the possession of marijuana and drug equipment.	For Applicant	Drug Related Criminal Charge	Convicted	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.)	—
2.b	Applicant last used marijuana or any other illegal drug in the summer of 2011, more than four years ago. She avoids illegal drugs and the people who use them.	For Applicant	Unspecified Criminal Conduct	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.)	—

Allegation

Finding

Offense

Criminal disposition

Response

Disqualifying (¶31)

Mitigating applied (¶32)

Mitigation

2.a

The police arrested Applicant twice, once for drug possession and once for misuse of a credit card. Applicant pled guilty to the possession of marijuana and drug equipment.

For Applicant

Drug Related Criminal Charge

Convicted

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.)

—

2.b

Applicant last used marijuana or any other illegal drug in the summer of 2011, more than four years ago. She avoids illegal drugs and the people who use them.

For Applicant

Unspecified Criminal Conduct

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.)

—

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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