Summary
A 29-year-old defense contractor was denied a security clearance due to concerns under Guideline F (Financial Considerations) and Guideline J (Criminal Conduct). The applicant had a history of four arrests between December 1997 and February 2002. These included charges for simple battery and criminal damage to property, assault on police officers, illegal use of a weapon, and assault. All charges were ultimately dismissed, with one instance involving a plea of no contest to illegal use of a weapon, resulting in minimum probation and subsequent dismissal.
The primary basis for denial, however, stemmed from significant unmitigated financial issues. The applicant owed approximately $31,000 across eight creditors. Specific debts included amounts placed for collection, debts in repayment plans, and several disputed debts. For example, the applicant owed approximately $4,514 and $5,291 on debts placed for collection, and approximately $5,074 and $2,173 on debts in repayment plans. Additionally, he disputed debts totaling approximately $801, $8,022, and $2,403, and admitted owing approximately $2,714 on another debt.
Despite some mitigating factors, the applicant's financial difficulties were not deemed to be under control. Six of the eight debts, totaling over $23,000, remained unpaid, and the applicant failed to provide documentation to support his claims regarding disputed debts. The absence of a systematic method for managing his financial obligations ultimately led to the denial of his security clearance.
Why the Applicant Was Denied
- The applicant owed approximately $31,000 to eight creditors, with six debts totaling over $23,000 remaining unpaid.
- The applicant disputed several debts but provided no supporting documentation for his claims.
- The applicant's financial difficulties were not shown to be under control, and he lacked a systematic method for handling his debts.
Conditions Referenced
- E2.A10.1.2.1raisedAllegations or Admission of Criminal Conduct, Regardless of Whether the Person Was Formally Charged.
- E2.A10.1.2.2raisedA Single Serious Crime or Multiple Lesser Offenses.
- E2.A6.1.2.1raisedA History of Not Meeting Financial Obligations.
- E2.A6.1.2.3raisedInability or Unwillingness to Satisfy Debts.
- E2.A10.1.3.1appliedThe Criminal Behavior Was Not Recent.
- E2.A10.1.3.6appliedThere Is Clear Evidence of Successful Rehabilitation.
- E2.A6.1.2.6appliedThe Individual Initiated a Good-faith Effort to Repay Overdue Creditors or Otherwise Resolve Debts.
Key Rule Quoted
“The security eligibility of an applicant is placed into question when that applicant is shown to have a history or pattern of criminal activity creating doubt about his judgment, reliability, and trustworthiness.”
Procedural Posture
- SOR issuedSep 2, 2004
- Answer filedSep 22, 2004
- Hearing heldDec 15, 2004
- Decision dateAug 29, 2005
Cite For
- Denial Based on Significant Unpaid Debts Under Guideline F
- Mitigating Conditions Applied to Criminal Conduct but Not to Financial Considerations
- Insufficient Evidence of Financial Management and Rehabilitation Efforts