Summary
A 45-year-old systems support engineer's security clearance application was DENIED under Guideline F (Financial Considerations) due to multiple unresolved delinquent debts totaling nearly $16,000. The applicant faced allegations concerning ten specific debts. These included approximately $3,880 owed to Department Store A, $4,504 to Credit Card Company D, $191 to Collection Agency E for towing services, $2,287 to Department Store F, $500 to Bank G, $417 to Company H, $40 to Pizza Store I, and $3,631 to Company J. All of these debts remained unsatisfied, with some having been written off or charged off.
Two smaller debts to Company B, totaling $59 and $42 each, were paid off by a check dated August 15, 2001. Despite these payments and some communication with creditors and legal counsel, the applicant did not demonstrate sufficient financial rehabilitation or a clear plan to resolve the remaining obligations.
The administrative judge cited the applicant's failure to resolve the significant outstanding debts as the primary reason for the denial. While personal circumstances contributed to the financial issues, the applicant did not provide adequate evidence of resolution, leading to the conclusion that the financial concerns remained a significant security risk.
Why the applicant was denied
- The applicant had multiple unresolved delinquent debts totaling nearly $16,000.
- The applicant failed to demonstrate financial rehabilitation or a clear plan to resolve his debts.
- The applicant's financial issues were exacerbated by personal circumstances, but he did not provide sufficient evidence of resolution.
Conditions referenced
- AG ¶ 19raisedA History of Not Meeting Financial Obligations
- AG ¶ 20raisedInability or Unwillingness to Satisfy Debts
- AG ¶ 21rejectedThe Conditions That Resulted in the Behavior Were Largely Beyond the Person's ControlWhile the applicant's financial issues stemmed from personal circumstances, he did not demonstrate sufficient efforts to resolve the debts.
- AG ¶ 22rejectedThe Person Has Received or Is Receiving Counseling for the Problem AND There Are Clear Indications That the Problem Is Being Resolved or Is Under ControlThe applicant did not provide evidence of effective counseling or resolution of financial issues.
- AG ¶ 23rejectedThe Individual Initiated a Good-faith Effort to Repay Overdue Creditors or Otherwise Resolve DebtsThe applicant's efforts were insufficient to demonstrate a good-faith effort to resolve the debts.
Key rule quoted
“"any doubt as to whether access to classified information is clearly consistent with the interests of national security will be resolved in favor of the nation's security."”
Procedural posture
- SOR issuedApr 17, 2001
- Answer filedJun 29, 2001Applicant elected for a decision based on the written record.
- Hearing held—No hearing; decision based on written record.
- Decision dateJan 15, 2002
Cite for
- Denial of Security Clearance Due to Unresolved Financial Obligations
- Impact of Personal Circumstances on Financial Responsibility
- Insufficient Evidence of Financial Rehabilitation Under Guideline F