ISCR Case 01-15154.h1

Case Headnote

ISCR Case No. 01-15154.h1

grantedJan 27, 2003· Hon. Michael H. Leonard· hearing

Summary

A 45-year-old U.S. citizen, serving as the CFO of a defense contractor, was granted a security clearance despite initial concerns under Guideline B (Foreign Influence) and Guideline C (Foreign Preference). The applicant had resided in Great Britain until 1998 and obtained British citizenship in 2000.

The Statement of Reasons raised concerns regarding the applicant's spouse, child, and siblings being British citizens or residents in the U.K., along with his financial interests there. These connections were alleged to create a potential vulnerability to foreign coercion or influence. Additionally, his British citizenship was noted.

However, the applicant successfully mitigated these concerns. He demonstrated a clear preference for the U.S. by applying to renounce his British citizenship and liquidating most of his U.K. financial interests. The judge found that his family and financial ties to the U.K. were insufficient to create undue foreign influence, especially given that his spouse and daughter are U.S. citizens. The applicant had also never sought or used a U.K. passport, served in the British military, held political office, or voted in British elections. Consequently, the security clearance was granted.

Why the Applicant Prevailed

The applicant's family and financial connections to the U.K. were deemed insufficient to create undue foreign influence.
The applicant's spouse and daughter are U.S. citizens, reducing the risk of foreign influence.
The applicant applied to renounce his British citizenship, demonstrating a preference for the U.S.

Conditions Referenced

Disqualifying

DC 1raisedForeign Influence Due to Family Ties in the U.K.
DC 8raisedFinancial Interests in the U.K.
DC 1raisedForeign Preference Due to Obtaining British Citizenship.
DC 6raisedActive Exercise of Foreign Citizenship.

Mitigating

MC 1appliedInsignificant Security Concern From Family Ties.
MC 3appliedDistant Family Ties Reduce Security Concerns.
MC 4appliedActions Taken to Renounce Foreign Citizenship.
MC 8appliedMinimal Financial Interests in the U.K.

Key Rule Quoted

“The only purpose of a security-clearance decision is to decide if it is clearly consistent with the national interest to grant or continue a security clearance for an applicant.”

Procedural Posture

SOR issuedJun 21, 2002
Answer filedJul 15, 2002
Hearing heldSep 12, 2002at a location near Applicant's place of employment
Decision dateJan 27, 2003

Cite For

Mitigation of Foreign Influence Concerns Under Guideline B
Mitigation of Foreign Preference Concerns Under Guideline C
Significance of Renouncing Foreign Citizenship in Security Clearance Cases

Editorial summary generated for research. Not legal advice; not a prediction. Verify against the full decision before relying on any quoted language.

¶	Allegation	Finding	Relationship	Country	Response	Disqualifying (¶7)	Mitigating applied (¶8)	Mitigation
1.a	Applicant has a spouse, a child, and siblings who are British citizens, or residents or present in the U.K.	For Applicant	Sibling in Foreign Country Immediate Family	U.K. LOW RISK / ALLY	Admitted	(a) contact with a foreign family member/associate/friend creating a heightened risk of exploitation (b) connections creating a potential conflict of interest	(a) relationships such that a conflict between foreign and U.S. interests is unlikely (c) contact so casual and infrequent there is little likelihood of risk (d) contacts/activities on U.S. Government business or agency-approved	Claimed Deep U.S. Ties Documented Foreign Assets Divested Claimed Severed Foreign Contact
1.b	Applicant has financial interests in the U.K.	For Applicant	Foreign Real Estate Financial or Property Interest	U.K. LOW RISK / ALLY	Admitted	(b) connections creating a potential conflict of interest	(a) relationships such that a conflict between foreign and U.S. interests is unlikely (c) contact so casual and infrequent there is little likelihood of risk (d) contacts/activities on U.S. Government business or agency-approved	Documented Foreign Assets Divested Claimed Deep U.S. Ties
1.c	Applicant's family and financial connections could create a potential to make Applicant vulnerable to coercion, exploitation, or pressure by undue foreign influence.	For Applicant	Unspecified Foreign Relationship Other	U.K. LOW RISK / ALLY	Admitted	(a) contact with a foreign family member/associate/friend creating a heightened risk of exploitation (b) connections creating a potential conflict of interest	(a) relationships such that a conflict between foreign and U.S. interests is unlikely (c) contact so casual and infrequent there is little likelihood of risk (d) contacts/activities on U.S. Government business or agency-approved	Claimed Deep U.S. Ties Documented Foreign Assets Divested

Allegation

Finding

Relationship

Country

Response

Disqualifying (¶7)

Mitigating applied (¶8)

Mitigation

1.a

Applicant has a spouse, a child, and siblings who are British citizens, or residents or present in the U.K.

For Applicant

Sibling in Foreign Country

Immediate Family

U.K.

LOW RISK / ALLY

Admitted

(a) contact with a foreign family member/associate/friend creating a heightened risk of exploitation

(b) connections creating a potential conflict of interest

(a) relationships such that a conflict between foreign and U.S. interests is unlikely

(c) contact so casual and infrequent there is little likelihood of risk

(d) contacts/activities on U.S. Government business or agency-approved

Claimed

Deep U.S. Ties

Documented

Foreign Assets Divested

Claimed

Severed Foreign Contact

1.b

Applicant has financial interests in the U.K.

For Applicant

Foreign Real Estate

Financial or Property Interest

U.K.

LOW RISK / ALLY

Admitted

(b) connections creating a potential conflict of interest

(a) relationships such that a conflict between foreign and U.S. interests is unlikely

(c) contact so casual and infrequent there is little likelihood of risk

(d) contacts/activities on U.S. Government business or agency-approved

Documented

Foreign Assets Divested

Claimed

Deep U.S. Ties

1.c

Applicant's family and financial connections could create a potential to make Applicant vulnerable to coercion, exploitation, or pressure by undue foreign influence.

For Applicant

Unspecified Foreign Relationship

Other

U.K.

LOW RISK / ALLY

Admitted

(a) contact with a foreign family member/associate/friend creating a heightened risk of exploitation

(b) connections creating a potential conflict of interest

(a) relationships such that a conflict between foreign and U.S. interests is unlikely

(c) contact so casual and infrequent there is little likelihood of risk

(d) contacts/activities on U.S. Government business or agency-approved

Claimed

Deep U.S. Ties

Documented

Foreign Assets Divested

¶	Allegation	Finding	Type	Response	Disqualifying (¶10)	Mitigating applied (¶11)	Mitigation
1.a	Applicant obtained British citizenship in May 2000.	For Applicant	Foreign Citizenship Acquisition or Application	Admitted	—	—	—
1.b	Applicant has not sought, possessed, or used a U.K. passport.	For Applicant	Foreign Passport Possession or Use	Admitted	—	—	—
1.c	Applicant has never served in the British military.	For Applicant	Foreign Military or Government Service	Admitted	—	—	—
1.d	Applicant has never sought or held political office in the U.K.	For Applicant	Unspecified Foreign Preference	Admitted	—	—	—
1.e	Applicant has never voted in a British election.	For Applicant	Foreign Voting	Admitted	—	—	—
1.f	Applicant has applied to renounce his British citizenship.	For Applicant	Failure to Renounce or Surrender Foreign Status	Admitted	—	—	—
1.g	Applicant's actions demonstrate a genuine preference for the U.S.	For Applicant	Unspecified Foreign Preference	Admitted	—	—	—

Allegation

Finding

Type

Response

Disqualifying (¶10)

Mitigating applied (¶11)

Mitigation

1.a

Applicant obtained British citizenship in May 2000.

For Applicant

Foreign Citizenship Acquisition or Application

Admitted

—

1.b

Applicant has not sought, possessed, or used a U.K. passport.

For Applicant

Foreign Passport Possession or Use

Admitted

—

1.c

Applicant has never served in the British military.

For Applicant

Foreign Military or Government Service

Admitted

—

1.d

Applicant has never sought or held political office in the U.K.

For Applicant

Unspecified Foreign Preference

Admitted

—

1.e

Applicant has never voted in a British election.

For Applicant

Foreign Voting

Admitted

—

1.f

Applicant has applied to renounce his British citizenship.

For Applicant

Failure to Renounce or Surrender Foreign Status

Admitted

—

1.g

Applicant's actions demonstrate a genuine preference for the U.S.

For Applicant

Unspecified Foreign Preference

Admitted

—

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Case Profile

Summary

Why the Applicant Prevailed

Conditions Referenced

Key Rule Quoted

Procedural Posture

Cite For

Full decision

DEFENSE OFFICE OF HEARINGS AND APPEALS

HEARING

APPEARANCES

STATEMENT OF CASE

FINDINGS OF FACT

POLICIES

CONCLUSION

FORMAL FINDINGS

DECISION

FOOTNOTES