Summary
A 36-year-old personnel security specialist for a defense contractor was denied a security clearance due to concerns under Guideline E (Personal Conduct) and Guideline F (Financial Considerations). The denial stemmed from a history of not meeting financial obligations and deliberate omissions on his security clearance application.
Specifically, the applicant answered "no" to questions regarding being over 180 days delinquent on debts in the last seven years, being currently over 90 days delinquent, having a lien placed against property for unpaid debts in the last seven years, and having unpaid judgments against him in the last seven years. These responses were found to be false.
The judge determined that the applicant deliberately omitted significant financial information, indicating an intent to deceive. Although the applicant discharged his debts through bankruptcy, this did not mitigate the security concerns arising from his financial irresponsibility and lack of candor. The applicant also failed to demonstrate a good-faith effort to resolve his delinquent debts prior to filing for bankruptcy.
Why the Applicant Was Denied
- The applicant deliberately omitted significant financial information from his security clearance application, indicating intent to deceive.
- The applicant had a long history of delinquent debts and failed to demonstrate a good-faith effort to resolve them prior to filing for bankruptcy.
- The bankruptcy discharge did not mitigate the security concerns arising from the applicant's financial irresponsibility and lack of candor.
Conditions Referenced
- E2.A6.1.2.2raisedHistory of Not Meeting Financial Obligations
- E2.A6.1.2.3raisedInability or Unwillingness to Satisfy Debts
- E2.A5.1.2.2raisedDeliberate Omission, Concealment, or Falsification of Relevant and Material Facts
- E2.A6.1.3.3rejectedConditions That Resulted in the Behavior Were Largely Beyond the Person's ControlThe applicant's financial issues were not solely due to circumstances beyond his control, as many debts were incurred prior to leaving active duty.
- E2.A6.1.3.6rejectedGood-faith Effort to Repay Overdue Creditors or Resolve DebtsThe applicant made little effort to address his debts until forced by security concerns.
Key Rule Quoted
“"An individual who is financially irresponsible may also be irresponsible, unconcerned, or careless in their obligations to protect classified information."”
Procedural Posture
- SOR issuedApr 12, 2004
- Answer filedJun 24, 2004
- Hearing heldJan 6, 2005Applicant waived the 15-day notice provision.
- Decision dateFeb 17, 2005
Cite For
- Deliberate Omission of Financial Information Under Guideline E
- History of Financial Irresponsibility Under Guideline F
- Impact of Bankruptcy Discharge on Security Clearance Eligibility