Summary
A 36-year-old defense contractor and former Navy service member was denied a security clearance under Guideline F (Financial Considerations) due to unresolved financial issues totaling approximately $55,516. The Statement of Reasons (SOR) cited several delinquent debts, including a repossessed mobile home and various consumer accounts. One specific tax debt, SOR ¶ 1.b, was resolved in September 2015 through an installment plan. Other allegations included a disputed cellular telephone collection account and an insurance collection account.
The judge identified disqualifying conditions F.19(a) and F.19(c), which relate to a history of not meeting financial obligations and an inability or unwillingness to satisfy debts. While mitigating conditions F.20(b), F.20(d), and F.20(e) were considered, they were not sufficient to overcome the security concerns.
The denial was based on the applicant's failure to provide evidence of satisfying the majority of his debts, including the repossessed mobile home loan. Furthermore, the applicant did not demonstrate a good-faith effort to resolve his outstanding financial obligations or seek financial counseling.
Why the Applicant Was Denied
- The applicant has unresolved delinquent debts totaling approximately $55,516.
- The applicant did not provide evidence of satisfaction for the majority of debts, including a repossessed mobile home loan.
- The applicant failed to demonstrate a good-faith effort to resolve his debts or seek financial counseling.
Conditions Referenced
- F.19(a)raisedInability or Unwillingness to Satisfy Debts
- F.19(c)raisedA History of Not Meeting Financial Obligations
- F.20(b)rejectedConditions That Resulted in the Financial Problem Were Largely Beyond the Person’s ControlThe applicant did not provide evidence that financial issues were beyond his control.
- F.20(d)rejectedGood-faith Effort to Repay Overdue CreditorsThe applicant did not demonstrate a good-faith effort to resolve debts.
- F.20(e)rejectedReasonable Basis to Dispute the Legitimacy of the Past-due DebtThe applicant claimed a dispute but provided no evidence to substantiate it.
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 issuedSep 15, 2015
- Answer filedOct 9, 2015Applicant elected to have the case decided on the written record.
- Hearing held—No hearing; case decided on written record.
- Decision dateJun 7, 2016
Cite For
- Failure to Mitigate Financial Considerations Under Guideline F
- Importance of Providing Evidence of Debt Resolution
- Impact of Unresolved Debts on Security Clearance Eligibility