Summary
A 28-year-old administrative assistant for a defense contractor was denied a security clearance due to concerns under Guideline E (Personal Conduct) and Guideline F (Financial Considerations). The applicant had a history of delinquent accounts totaling over $11,000 and concealed material financial facts on her security clearance application.
The Statement of Reasons detailed numerous financial obligations, including multiple collection accounts for services such as cable, medical, dental, telephone, and food, as well as a credit card, a charged-off retail credit account, charged-off hospital bills, and a deficiency from a repossessed car. The applicant also concealed these material facts about her financial obligations on her security clearance application.
The judge found that the applicant failed to mitigate serious questions regarding her security suitability. The denial was based on her significant history of delinquent accounts, the concealment of material financial facts, and her minimal effort to satisfy outstanding debts, which raised concerns about her reliability and judgment.
Why the Applicant Was Denied
- The applicant has a significant history of delinquent accounts that have been placed for collection.
- She concealed material facts about her financial obligations on her security clearance application.
- The applicant made little or no effort to satisfy her outstanding debts, raising serious questions about her reliability and judgment.
Conditions Referenced
- E2.A6.1.2.1appliedFinancial Considerations Disqualifying Condition
- E2.A6.1.2.3appliedFinancial Considerations Disqualifying Condition
- E2.A5.1.2.2appliedPersonal Conduct Disqualifying Condition
- E2.A6.1.3.6raisedFinancial Considerations Mitigating ConditionThe applicant initiated a good-faith attempt to repay overdue creditors or otherwise resolve debts.
- E2.A5.1.3.5rejectedPersonal Conduct Mitigating ConditionThe applicant did not provide sufficient evidence to mitigate her vulnerability to coercion, exploitation, or duress.
Key Rule Quoted
“An individual who is financially overextended is at risk of having to engage in illegal acts to generate funds; and conduct involving questionable judgment, untrustworthiness, unreliability, lack of candor, dishonesty, or unwillingness to comply with rules and regulations could indicate that the person may not properly safeguard classified information.”
Procedural Posture
- SOR issuedOct 1, 2003
- Answer filedOct 28, 2003Applicant elected to have her case decided on the written record.
- Hearing held—No hearing was held; decision made on the written record.
- Decision dateMar 8, 2005
Cite For
- Denial Based on Financial Irresponsibility Under Guideline F
- Concealment of Material Facts Under Guideline E
- Failure to Mitigate Security Concerns Related to Financial Obligations