Summary
The applicant, a 46-year-old woman employed as a data communication engineer, faced security concerns under Guideline F due to a history of financial problems, including a Chapter 13 bankruptcy and multiple unpaid debts. Despite some efforts to address her financial issues, the judge found that her ongoing financial difficulties and lack of a solid repayment plan did not mitigate the security concerns, resulting in a denial of her security clearance.
Under Guideline F (Financial Considerations), the Statement of Reasons alleged the following: Charged off credit card for $651 (1.a). Bad debt from credit card for $465 (1.b). Bad debt from credit card for $490 (1.c). Charged off credit card for $3,497 (1.d). Charged off government debt stemming from overpayment of state unemployment benefits for $1,335 (1.e). Past due medical bill for $1,657 (1.f). Past due medical bill for $684 (1.g). Judgment stemming from an auto loan for $1,441 (1.h). Collection account for cell phone account for $53 (1.i). Charged off credit card for $527 (1.j).
The judge denied the clearance. The government raised disqualifying conditions E2.A6.1.2.1, E2.A6.1.2.3. The judge applied mitigating conditions E2.A6.1.3.1, E2.A6.1.3.2, E2.A6.1.3.3, E2.A6.1.3.4, E2.A6.1.3.6. The decision turned on the following: The applicant has a history of financial problems, including a Chapter 13 bankruptcy and multiple unpaid debts; The applicant's financial issues are ongoing and not indicative of responsible financial management; The applicant's efforts to resolve her debts are insufficient and lack strong indicators of improvement.
Why the Applicant Was Denied
- The applicant has a history of financial problems, including a Chapter 13 bankruptcy and multiple unpaid debts.
- The applicant's financial issues are ongoing and not indicative of responsible financial management.
- The applicant's efforts to resolve her debts are insufficient and lack strong indicators of improvement.
Conditions Referenced
- E2.A6.1.2.1raisedA History of Not Meeting Financial Obligations
- E2.A6.1.2.3raisedInability or Unwillingness to Satisfy Debts
- E2.A6.1.3.1rejectedThe Behavior Was Not RecentThe applicant's financial problems are current and ongoing.
- E2.A6.1.3.2rejectedIt Was an Isolated IncidentThe applicant has multiple delinquent accounts incurred over an extended period.
- E2.A6.1.3.3appliedThe Conditions That Resulted in the Behavior Were Largely Beyond the Person's ControlThe applicant's financial problems were influenced by unemployment and personal circumstances.
- E2.A6.1.3.4rejectedThe Person Has Received or Is Receiving Counseling for the Problem and There Are Clear Indications That the Problem Is Resolved or Is Under ControlThe applicant's financial education was a one-time event and did not lead to significant improvement.
- E2.A6.1.3.6appliedThe Individual Initiated a Good-faith Effort to Repay Overdue Creditors or Otherwise Resolve DebtsThe applicant has made some payments but continues to incur more delinquent debt.
Key Rule Quoted
“The decision to deny a person a security clearance is not a determination of an applicant's loyalty. Instead, it is a determination that the applicant has not met the strict guidelines the President has established for granting a clearance.”
Procedural Posture
- SOR issuedDec 21, 2004
- Answer filedFeb 17, 2005
- Hearing heldSep 15, 2005Applicant appeared pro se.
- Decision dateMar 31, 2006
Cite For
- Denial of Clearance Due to Ongoing Financial Issues Under Guideline F
- Insufficient Mitigation of Financial Problems Despite Some Efforts
- Impact of Personal Circumstances on Financial Responsibility