ISCR Case 03-15475.h1

Case Headnote

ISCR Case No. 03-15475.h1

grantedAug 12, 2004· Hon. Barry M. Sax· hearing

Summary

A 51-year-old engineer, originally from Taiwan and a U.S. citizen since 1994, was granted a security clearance despite initial concerns under Guidelines B (Foreign Influence), C (Foreign Preference), and E (Personal Conduct). The Statement of Reasons highlighted his parents' Taiwanese citizenship and residency, weekly contact with them, and his former ownership of a Taiwanese apartment, purchased by his parents in 1978, which he never considered his own.

Additionally, the applicant was a dual citizen of the U.S. and Taiwan until February 2004, when he formally renounced his Taiwanese citizenship and surrendered his Taiwanese passport after being notified by DSS. He had retained the Taiwanese passport to protect his parents' interest in the apartment, which was valued at approximately $200,000 and transferred to his brother in February 2004. The applicant also made annual trips to Taiwan to visit his elderly parents, who are retired and have no government connections.

The judge found that the applicant did not intentionally falsify his security clearance application by omitting mention of the apartment. The clearance was granted because the applicant renounced his Taiwanese citizenship, surrendered his passport, and no longer has financial interests in Taiwan. His actions demonstrated integrity and a clear preference for the U.S., sufficiently mitigating security concerns.

Why the Applicant Prevailed

Applicant renounced his Taiwanese citizenship and surrendered his Taiwanese passport.
He has no current financial interests in Taiwan, having transferred property ownership to his brother.
The applicant demonstrated integrity and a commitment to report any improper contacts.

Conditions Referenced

Disqualifying

B.1.araisedForeign Influence - Immediate Family Member Is a Citizen of a Foreign Country.
C.1.araisedForeign Preference - Dual Citizenship with a Foreign Country.
E.2.araisedPersonal Conduct - Intentional Falsification of Information.

Mitigating

B.1appliedForeign Influence - Immediate Family Members Are Not Agents of a Foreign Power.
C.1appliedForeign Preference - Renunciation of Foreign Citizenship.
E.2appliedPersonal Conduct - No Intentional Falsification of Information.

Key Rule Quoted

“"An applicant's admission of the information in specific allegations relieves the Government of having to prove those allegations."”

Procedural Posture

SOR issuedSep 30, 2003
Answer filedOct 20, 2003
Hearing heldApr 23, 2004conducted by video-conference
Decision dateAug 12, 2004

Cite For

Mitigation of Foreign Influence Concerns Due to Family Ties
Renunciation of Foreign Citizenship as a Mitigating Factor
Non-intentional Falsification of Security Clearance Application Information

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
2.a	Applicant's parents are both citizens of Taiwan and reside in that country. Applicant has telephone contact with them about once a week, out of concern for their health.	For Applicant	Parent in Foreign Country Immediate Family	Taiwan HEIGHTENED RISK	Admitted	(a) contact with a foreign family member/associate/friend creating a heightened risk of exploitation	(e) promptly complied with reporting requirements	Credited Deep U.S. Ties
2.b	Until recently, Applicant owned/had title to an apartment in Taiwan that had been purchased and maintained for him by his parents when he in school in Taiwan in 1978. He did not make any payments on the apartment and it has been occupied and maintained by his parents since he came to the U.S. He has never considered it to be his property, but that of his parents. The title to the house, still occupied by his parents, has now been transferred to his brother.	For Applicant	Foreign Real Estate Financial or Property Interest	Taiwan HEIGHTENED RISK	Admitted	(a) contact with a foreign family member/associate/friend creating a heightened risk of exploitation	(e) promptly complied with reporting requirements	Credited Foreign Assets Divested

Allegation

Finding

Relationship

Country

Response

Disqualifying (¶7)

Mitigating applied (¶8)

Mitigation

2.a

Applicant's parents are both citizens of Taiwan and reside in that country. Applicant has telephone contact with them about once a week, out of concern for their health.

For Applicant

Parent in Foreign Country

Immediate Family

Taiwan

HEIGHTENED RISK

Admitted

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

(e) promptly complied with reporting requirements

Credited

Deep U.S. Ties

2.b

Until recently, Applicant owned/had title to an apartment in Taiwan that had been purchased and maintained for him by his parents when he in school in Taiwan in 1978. He did not make any payments on the apartment and it has been occupied and maintained by his parents since he came to the U.S. He has never considered it to be his property, but that of his parents. The title to the house, still occupied by his parents, has now been transferred to his brother.

For Applicant

Foreign Real Estate

Financial or Property Interest

Taiwan

HEIGHTENED RISK

Admitted

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

(e) promptly complied with reporting requirements

Credited

Foreign Assets Divested

¶	Allegation	Finding	Type	Response	Disqualifying (¶10)	Mitigating applied (¶11)	Mitigation
2.a	As of the date of time of Applicant's response to the SOR, October 20, 2003, Applicant was a dual citizen of the U.S. and Taiwan because he had not considered the consequences of retaining his Taiwanese citizenship. After being put on notice by DSS, Applicant formally renounced his Taiwanese citizenship on February 20, 2004 (AX E). He is now a citizen of the U.S. only.	For Applicant	Failure to Renounce or Surrender Foreign Status	Admitted	—	—	—
2.b	Applicant no longer owns the property in Taiwan cited in the SOR. He sold it to his brother in February 2004, as documented by Certificate of Title (EX G). The property is worth about $200,000 (Tr at 40) and his brother will be the sole beneficiary. Applicant owns real estate in the U.S., and has assets of about $900,000.	For Applicant	Unspecified Foreign Preference	Admitted	—	—	—
2.c	From about 1994 to the present, Applicant has made about one trip a year to Taiwan to visit his elderly father (85) and mother (71). His father is a retired accounting manager for a city government and his mother was a nurse. He has no other immediate family members in Taiwan. Both parents are retired and not connected with the government in any way.	For Applicant	Unspecified Foreign Preference	Admitted	—	—	—
2.d	As of July 5, 2001, Applicant maintained a valid Taiwan passport. Applicant subsequently renounced his Taiwanese citizenship and surrendered his Taiwanese passport (AX E and AX F). He retained his Taiwanese passport until recently so that his parents "could keep the property they purchased in my name a long time ago" (AX H). When he transferred title to the property to his brother in November 2003, the need for the Taiwanese citizenship and passport no longer existed and Applicant promptly acted to end his legal ties to Taiwan in early 2004 (AX F and AX H). The copies of the two passports (U.S. and Taiwan) provided by Applicant (AX Ea. and AX Eb) show Taiwan entry and exit stamps on both passports. Applicant explained that he used the Taiwanese passport to protect his parents' interests in the apartment and the U.S. passport so the U.S. could keep track of his foreign travels (Tr at 26-28). This establishes that Applicant clearly understands his obligations to the U.S. and acts with integrity.	For Applicant	Failure to Renounce or Surrender Foreign Status	Admitted	—	—	—

Allegation

Finding

Type

Response

Disqualifying (¶10)

Mitigating applied (¶11)

Mitigation

2.a

As of the date of time of Applicant's response to the SOR, October 20, 2003, Applicant was a dual citizen of the U.S. and Taiwan because he had not considered the consequences of retaining his Taiwanese citizenship. After being put on notice by DSS, Applicant formally renounced his Taiwanese citizenship on February 20, 2004 (AX E). He is now a citizen of the U.S. only.

For Applicant

Failure to Renounce or Surrender Foreign Status

Admitted

—

2.b

Applicant no longer owns the property in Taiwan cited in the SOR. He sold it to his brother in February 2004, as documented by Certificate of Title (EX G). The property is worth about $200,000 (Tr at 40) and his brother will be the sole beneficiary. Applicant owns real estate in the U.S., and has assets of about $900,000.

For Applicant

Unspecified Foreign Preference

Admitted

—

2.c

From about 1994 to the present, Applicant has made about one trip a year to Taiwan to visit his elderly father (85) and mother (71). His father is a retired accounting manager for a city government and his mother was a nurse. He has no other immediate family members in Taiwan. Both parents are retired and not connected with the government in any way.

For Applicant

Unspecified Foreign Preference

Admitted

—

2.d

As of July 5, 2001, Applicant maintained a valid Taiwan passport. Applicant subsequently renounced his Taiwanese citizenship and surrendered his Taiwanese passport (AX E and AX F). He retained his Taiwanese passport until recently so that his parents "could keep the property they purchased in my name a long time ago" (AX H). When he transferred title to the property to his brother in November 2003, the need for the Taiwanese citizenship and passport no longer existed and Applicant promptly acted to end his legal ties to Taiwan in early 2004 (AX F and AX H). The copies of the two passports (U.S. and Taiwan) provided by Applicant (AX Ea. and AX Eb) show Taiwan entry and exit stamps on both passports. Applicant explained that he used the Taiwanese passport to protect his parents' interests in the apartment and the U.S. passport so the U.S. could keep track of his foreign travels (Tr at 26-28). This establishes that Applicant clearly understands his obligations to the U.S. and acts with integrity.

For Applicant

Failure to Renounce or Surrender Foreign Status

Admitted

—

¶	Allegation	Finding	Conduct	Concealed Issue	Response	Disqualifying (¶16)	Mitigating applied (¶17)	Mitigation
3.a	Applicant did not intentionally falsify his answer to Question 12 - Your Foreign Activities - Property on his security clearance application (SCA), filed on May 21, 2001 when he omitted mention of the apartment discussed above at 2.b.	For Applicant	Omission or Failure to DiscloseNOT DELIBERATE	Other	Admitted	—	(a) prompt, good-faith correction before being confronted	Claimed Other

Allegation

Finding

Conduct

Concealed Issue

Response

Disqualifying (¶16)

Mitigating applied (¶17)

Mitigation

3.a

Applicant did not intentionally falsify his answer to Question 12 - Your Foreign Activities - Property on his security clearance application (SCA), filed on May 21, 2001 when he omitted mention of the apartment discussed above at 2.b.

For Applicant

Omission or Failure to DiscloseNOT DELIBERATE

Other

Admitted

—

(a) prompt, good-faith correction before being confronted

Claimed

Other

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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