Summary
A 41-year-old administrative coordinator was denied a security clearance due to concerns under Guideline E (Personal Conduct) and Guideline F (Financial Considerations). The applicant had a history of financial mismanagement, including multiple delinquent debts and two judgments entered against her in April 1993 for insufficient funds. Specific debts included $120.00 to a telecommunications company from 1995, $441.00 to a second telecommunications company from 1998, $94.00 to a bank from 1998 (satisfied April 12, 2000), $275.00 to a loan company from 1998, $100.00 to an animal hospital from 1998 (satisfied May 24, 2001), $177.00 to a health company from 1998, and $125.00 to a dentist from 1997 (paid May 1, 2001).
A significant concern was the applicant's intentional falsification of her Security Clearance Application (Standard Form 86). She answered "no" to question 39, which asks about debts over 90 days delinquent, despite having several such outstanding obligations.
Although some debts were eventually satisfied, the applicant failed to provide sufficient evidence of financial responsibility or counseling. The decision highlighted her history of not meeting financial obligations and the intentional omission of relevant financial information on her application, leading to the denial of her security clearance.
Why the Applicant Was Denied
- The applicant had a history of not meeting financial obligations, including multiple debts and judgments against her.
- The applicant intentionally falsified her security clearance application by omitting relevant financial information.
- The applicant did not provide evidence of financial counseling or significant changes in her financial habits.
Conditions Referenced
- FDC 1raisedA History of Not Meeting Financial Obligations
- FDC 2raisedDeceptive or Illegal Financial Practices Such as Check Fraud
- FDC 3raisedInability or Unwillingness to Satisfy Debts
- PCDC 2raisedThe Deliberate Omission, Concealment, or Falsification of Relevant and Material Facts From Any Personnel Security Questionnaire to Determine Security Eligibility
- FMC 3rejectedThe Conditions That Resulted in the Behavior Were Largely Beyond the Person's ControlWhile the applicant cited extenuating circumstances, they were insufficient to mitigate the financial issues.
- FMC 4rejectedThe Person Has Received or Is Receiving Counseling for the Problem and There Are Clear Signs the Problem Is Being Resolved or Is Under ControlThe applicant did not provide evidence of financial counseling.
- FMC 6rejectedThe Individual Initiated a Good-faith Effort to Repay Overdue Creditors or Otherwise Resolve DebtsPayments made were only after debts were sent to collections.
Key Rule Quoted
“The granting (or continuance) of a security clearance under this Directive may only be done upon a finding that to do so is clearly consistent with the national interest.”
Procedural Posture
- SOR issuedFeb 17, 2001
- Answer filedMay 24, 2001Undated answer received by DOHA.
- Hearing heldAug 30, 2001
- Decision dateJan 14, 2002
Cite For
- Denial Based on Financial Mismanagement Under Guideline F
- Intentional Falsification of Security Clearance Application Under Guideline E
- Insufficient Evidence of Rehabilitation or Counseling in Financial Matters