Summary
The applicant, a 38-year-old senior software engineer, faced security clearance denial under Guideline E (Personal Conduct) and Guideline F (Financial Considerations) due to numerous unresolved debts and a lack of candor in his security clearance application. The judge found that the applicant's financial irresponsibility raised concerns about his reliability and trustworthiness, ultimately leading to the denial of his security clearance.
Under Guideline E (Personal Conduct) and Guideline F (Financial Considerations), the Statement of Reasons alleged the following: Applicant failed to disclose relevant financial delinquencies on his security clearance application (2.a). two credit-card accounts, one charged off $4,972 in September 2011; and one placed for collection of $3,088 in August 2012 (1.a). two credit-card accounts, one charged off $4,972 in September 2011; and one placed for collection of $3,088 in August 2012 (1.b). student loans, one placed for collection of $792 in November 2011; and one placed for collection of $619 in February 2011 (1.c). student loans, one placed for collection of $792 in November 2011; and one placed for collection of $619 in February 2011 (1.d). cell phone disconnection fee, placed for collection of $277 in December 2014 (1.e). installment account for computer purchase, past due for $184, last payment in April 2012 (1.f). federal tax lien entered in 2012 for $32,731 (1.g). federal tax liens entered in 2012 for $9,325 (1.h). federal tax liens entered in 2012 for $7,716 (1.i). judgments for hospital bills for $902, entered in 2012 (1.j). judgments for hospital bills for $302, entered in 2010 (1.k). retail-store debt charged off for $281 in February 2011 (1.l). overdrawn checking account, placed for collection of $545 in January 2010 (1.m). retail-store account charged off for $792 in November 2011 (1.n). student loans past due for $186 (1.o). student loans past due for $248 (1.p). student loans past due for $262 (1.q).
The judge denied the clearance. The government raised disqualifying conditions AG ¶ 19(a), AG ¶ 19(c). The judge applied mitigating conditions AG ¶ 20(b), AG ¶ 20(d). The decision turned on the following: The applicant failed to resolve numerous delinquent debts, indicating an inability to meet financial obligations; The applicant's lack of candor in his security clearance application raised questions about his reliability and trustworthiness; The applicant did not demonstrate a good-faith effort to address his financial issues or provide evidence of financial counseling.
Why the Applicant Was Denied
- The applicant failed to resolve numerous delinquent debts, indicating an inability to meet financial obligations.
- The applicant's lack of candor in his security clearance application raised questions about his reliability and trustworthiness.
- The applicant did not demonstrate a good-faith effort to address his financial issues or provide evidence of financial counseling.
Conditions Referenced
- AG ¶ 19(a)appliedInability or Unwillingness to Satisfy Debts
- AG ¶ 19(c)appliedA History of Not Meeting Financial Obligations
- AG ¶ 20(b)rejectedConditions That Resulted in the Financial Problem Were Largely Beyond the Person's ControlWhile some circumstances were beyond the applicant's control, he did not act responsibly to address his debts.
- AG ¶ 20(d)rejectedIndividual Initiated a Good-faith Effort to Repay Overdue CreditorsThe applicant did not provide documentation to support claims of debt resolution.
Key Rule Quoted
“Eligibility for a security clearance is predicated upon the applicant meeting the criteria contained in the AG.”
Procedural Posture
- SOR issuedSep 27, 2015
- Answer filedNov 9, 2015
- Hearing heldMar 23, 2016
- Decision dateJun 20, 2016
Cite For
- Denial Based on Unresolved Financial Obligations Under Guideline F
- Lack of Candor in Security Clearance Applications Under Guideline E
- Consideration of Personal Conduct in Relation to Financial Irresponsibility