Summary
A 36-year-old defense contractor's security clearance application was denied due to concerns under Guideline E (Personal Conduct), Guideline F (Financial Considerations), and Guideline J (Criminal Conduct). The denial stemmed from a history of financial difficulties and intentional falsifications on his Security Clearance Application (SCA).
Specifically, the applicant was indebted for approximately $13,924 from a foreclosed home equity loan, charged off in March 2001, for which he claimed a payment plan was established by May 2004. He also owed about $7,162 from a judgment entered by March 2002, for which he also stated a payment plan was in place. Additionally, a $223 debt from 1998 was reduced to $59 by April 2004, and a $1,165 past-due child support debt to the State of Virginia was satisfied by April 19, 2004.
The applicant intentionally provided false, material information on his SCA regarding both his alcohol-related criminal history and his debts. These falsifications, made on SCAs completed in 2001, were deemed felonies under 18 U.S.C. 1001. The judge concluded that the applicant's history of not meeting financial obligations, totaling approximately $21,145, combined with the intentional falsifications and a lack of credible evidence of financial reform, precluded a determination that granting clearance was consistent with national interest.
Why the Applicant Was Denied
- Applicant has a history of not meeting financial obligations, including significant debts totaling approximately $21,145.00.
- Applicant intentionally falsified material information on his Security Clearance Application regarding his financial history and criminal record.
- The applicant failed to provide credible evidence of financial reform or reliability.
Conditions Referenced
- E2.A5.1.2.2appliedDeliberate Omission, Concealment, or Falsification of Relevant and Material Facts From Any Personnel Security Questionnaire.
- E2.A6.1.2.1raisedA History of Not Meeting Financial Obligations.
- E2.A6.1.2.3raisedInability or Unwillingness to Satisfy Debts.
- E2.A10.1.2.2appliedA Single Serious Crime or Multiple Lesser Offenses.
Key Rule Quoted
“When such an individual intentionally falsifies material facts on a security clearance application, it is extremely difficult to conclude that he or she nevertheless possesses the good judgment, reliability and trustworthiness required of clearance holders.”
Procedural Posture
- SOR issuedOct 27, 2003
- Answer filedNov 10, 2003Applicant elected to have case determined on written record.
- Hearing held—No hearing; case determined on written record.
- Decision dateJan 26, 2005
Cite For
- Denial Based on Financial Irresponsibility Under Guideline F
- Impact of Intentional Falsification on Security Clearance Eligibility Under Guideline E
- Criminal Implications of Falsifying Information on Security Clearance Applications Under Guideline J