Summary
The applicant, a 41-year-old Technical Writer/Editor for a defense contractor, faced allegations under Guideline F regarding financial considerations due to a history of delinquent debts and judgments. The judge found that many debts were either incorrect or had been resolved, and that the applicant's financial issues stemmed from circumstances beyond her control. Ultimately, the judge concluded that the applicant demonstrated sufficient rehabilitation and integrity to warrant the granting of her security clearance.
Under Guideline F (Financial Considerations), the Statement of Reasons alleged the following: Telephone Company A in the approximate amount of $99.00, for an account that was turned over for collection in April 1994 (1.a). Bank B in the approximate amount of $739.00, for an account that was charged off in July 1997 (1.b). Company C in the approximate amount of $52.00, for a delinquent account that was charged off in July 1995 (1.c). Company D in the approximate amount of $151.00, for a delinquent account that was 120 days past due in July 1997 (1.d). Company E in the approximate amount of $39.00 and $51.00, for two delinquent accounts that were turned over for collection in March 1998 (1.e). Company F in the approximate amount of $76.00, for a delinquent account that was turned over for collection in October 1995 (1.f). Company G in the approximate amount of $112.00, for a delinquent account that was turned over for collection in May 1996 (1.g). Medical Company H in the approximate amount of $283.00 for a delinquent account that was turned over for collection in September 1996 (1.h). Dentist I in the approximate amount of $98.00 for a delinquent account that had been turned over for collection in August 1996 (1.i). Company J in the approximate amount of $58.00 and $59.00 for two delinquent accounts that were turned over for collection in May 1999 and October 1999, respectively (1.j). In August 1997, judgments were entered against Applicant in the amounts of $232.00 (1.k). In August 1997, judgments were entered against Applicant in the amounts of $224.00 (1.l). In August 1997, judgments were entered against Applicant in the amounts of $197.00 (1.m). In July 1993, a judgment was entered against Applicant in the amount of $123.00 (1.n). In May 1997, a judgment was entered against Applicant in the amount of $3,984.00 (1.o). University P, for a delinquent account in the approximate amount of $256.00 (1.p). Automobile Dealer Q in the amount of $24.00 for the deficiency amount as a result of an automobile repossession in April 1999 (1.q). Insurance Company R in the amount of $117.00 for a delinquent account turned over for collection in December 1999 (1.r). Company S in the amount of $255.00 for a delinquent account turned over for collection in October 1997 (1.s). Company T in the amount of $224.00 (1.t). Applicant filed for Chapter 13 bankruptcy protection in April 1988 (1.u).
The judge granted the clearance. The government raised disqualifying conditions F.1.a, F.1.c. The judge applied mitigating conditions F.3, F.6. The decision turned on the following: Most debts cited in the SOR were either incorrect or had been resolved by the applicant; The applicant's financial issues were largely due to circumstances beyond her control, such as family and medical problems; The applicant made good-faith efforts to repay overdue creditors and resolve debts.
Why the applicant prevailed
- Most debts cited in the SOR were either incorrect or had been resolved by the applicant.
- The applicant's financial issues were largely due to circumstances beyond her control, such as family and medical problems.
- The applicant made good-faith efforts to repay overdue creditors and resolve debts.
Conditions referenced
- F.1.araisedA History of Not Meeting Financial Obligations
- F.1.craisedInability (but Not Unwillingness) or Unwillingness to Satisfy Debts
- F.3appliedThe Conditions That Resulted in the Behavior Were Largely Beyond the Person's Control
- F.6appliedThe Individual Initiated a Good-faith Effort to Repay Overdue Creditors or Otherwise Resolve Debts
Key rule quoted
“It is a basic tenet of the security clearance adjudication process that the Government must first provide evidence establishing that a doubt exists as to an applicant's judgment, reliability, and trustworthiness.”
Procedural posture
- SOR issuedMay 22, 2001
- Answer filedJun 21, 2001
- Hearing heldSep 18, 2001
- Decision dateNov 16, 2001
Cite for
- Mitigating Conditions Under Guideline F Regarding Financial Considerations
- The Importance of Accurate Credit Reporting in Security Clearance Evaluations
- The Impact of Personal Circumstances on Financial Obligations and Security Clearance Eligibility