Summary
A 65-year-old defense contractor employee was denied a security clearance under Guideline F, Financial Considerations, due to significant and ongoing financial issues. The Statement of Reasons (SOR) alleged 26 delinquent debts totaling approximately $38,000. Disqualifying conditions under Adjudicative Guideline (AG) ¶ 19(a) and AG ¶ 19(c) were raised, indicating a history of not meeting financial obligations and an inability to live within one's means.
While the applicant did settle one specific debt of $1,144 for $413, this was insufficient to overcome the broader concerns. Mitigating conditions under AG ¶ 20(b), AG ¶ 20(c), and AG ¶ 20(d) were considered, which relate to the financial problems being largely beyond the applicant's control, a good-faith effort to resolve the issues, and the problems being isolated or not likely to recur.
However, the judge ultimately determined that the applicant had a history of delinquent debts totaling approximately $38,000, demonstrating an inability to meet financial obligations. The applicant failed to provide sufficient evidence of a good-faith effort to resolve these debts or to demonstrate responsible financial management. Recent financial issues continued to cast doubt on the applicant's reliability and trustworthiness, leading to the denial of the security clearance.
Why the Applicant Was Denied
- The applicant had a history of delinquent debts totaling approximately $38,000, indicating an inability to meet financial obligations.
- The applicant failed to provide sufficient evidence of a good-faith effort to resolve his debts or to demonstrate responsible financial management.
- Recent financial issues continued to cast doubt on the applicant's 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(b)appliedConditions Largely Beyond the Person's ControlThe applicant's family medical issues were beyond his control, but he did not act responsibly under the circumstances.
- AG ¶ 20(c)rejectedReceived Counseling for the ProblemThe applicant did not provide sufficient evidence of effective financial counseling.
- AG ¶ 20(d)rejectedGood-faith Effort to Repay CreditorsThe applicant did not demonstrate a consistent good-faith effort to resolve his debts.
Key Rule Quoted
“Any doubt concerning personnel being considered for access to classified information will be resolved in favor of national security.”
Procedural Posture
- SOR issuedFeb 10, 2015
- Answer filedMar 5, 2015Applicant elected to have the case decided on the written record.
- Hearing held—No hearing; case decided on written record.
- Decision dateNov 15, 2015
Cite For
- Denial of Security Clearance Due to Unresolved Financial Obligations
- Impact of Financial Mismanagement on Security Clearance Eligibility
- Consideration of Mitigating Factors Under Guideline F