Loading case…

Summary

The applicant, a 35-year-old general maintenance worker, faced security concerns under Guideline E (Personal Conduct) and Guideline F (Financial Considerations) due to accumulated delinquent debts and failure to disclose relevant financial information on his security clearance application. The judge found that the applicant's financial irresponsibility and deliberate omissions indicated a lack of trustworthiness, leading to the denial of his security clearance.

Under Guideline E (Personal Conduct) and Guideline F (Financial Considerations), the Statement of Reasons alleged the following: On his security clearance application, he deliberately failed to disclose all of the judgments against him, and debts in the last seven years that were more than 180 days past due, and the current debts more than 90 days past due (2.a). Applicant responded "NO" to question 38 asking if, in the last seven years, he had ever been over 180 days delinquent on any debts. In fact at the time, he was over 180 days delinquent on at least three debts (2.b). Applicant responded "NO" to question 39 asking if he was currently over 90 days delinquent on any debts. In fact at the time, he was delinquent over 90 days on three debts (2.c). Delinquent debt 1 is the balance of over $10,000.00 from a car repossession in 1996 for which the automobile finance company received a judgment against Applicant. Applicant admits he owes this debt, and it is not settled (1.a). Delinquent debt 2 is a judgement for $743.46 in unpaid personal property taxes. Applicant claimed he paid this judgment by wage garnishment. He presented no information to verify the judgment was settled (1.b). Delinquent debt 3 is to a finance company for a judgment on an unpaid loan of $257.42. Applicant disputes this debt since he believes he paid it off in 1995/1996. He was to inquire about this debt. Applicant presented no information concerning his inquiry or to verify the debt was settled (1.c). Delinquent debt 4 is to a collection agency for $152.00 for a medical bill. Applicant claims he was unaware of this debt, but believes it was for a physical that was paid by his medical insurance. He was to inquire about this account. He presented no information concerning his inquiry or that the account was settled (1.d). Delinquent debt 5 is for $1,031.20 to a collection agency for a finance company for a loan. Applicant was unsure of the debt but was to inquire of the collection agency and the creditor about the debt. Applicant presented no information or evidence concerning the result of any inquiries about the debt (1.e). Delinquent debt 6 for $50.00 to a collection agency for a hospital medical bill. Applicant did not know about this debt and was to make an inquiry. Applicant stated this debt was paid but presented no information or evidence to verify payment (1.f). Delinquent debt 7 is an additional personal property tax of $150.00 that had not been paid. Applicant was to pay this tax in June 2003. Applicant stated the debt was paid in full but presented no information or evidence to verify payment of the debt (1.g). Delinquent debt 8 is for $520.00 for a credit card that was over 120 days past due as of March 16, 2005. Applicant has not provided any information concerning payment on this account and its current status (1.h). Delinquent debt 9 is a judgment of $1,606.00 to a furniture store. Applicant noted he is making monthly payment of $154.00 towards this debt. He presented no information or evidence concerning the status of this debt or any payments he made (1.i). Delinquent debt 10 is $209.00 to a collection agency for a television satellite company. Applicant presented no information concerning this debt (1.j).

The judge denied the clearance. The government raised disqualifying conditions E2.A6.1.2.1, E2.A6.1.2.3, E2.A5.1.2.2. The decision turned on the following: The applicant accumulated significant delinquent debts, including judgments and unpaid accounts, which he failed to disclose on his security clearance application; He did not provide evidence of payments made towards his debts or any efforts to resolve them, despite claiming he had paid some debts; The applicant's deliberate omissions regarding his financial history demonstrated a lack of candor and untrustworthiness.

Why the Applicant Was Denied

• The applicant accumulated significant delinquent debts, including judgments and unpaid accounts, which he failed to disclose on his security clearance application.
• He did not provide evidence of payments made towards his debts or any efforts to resolve them, despite claiming he had paid some debts.
• The applicant's deliberate omissions regarding his financial history demonstrated a lack of candor and untrustworthiness.

Conditions Referenced

Key Rule Quoted

“"Any doubt as to whether access to classified information is clearly consistent with national security will be resolved in favor of the national security."”

Procedural Posture

• SOR issuedMay 18, 2005
• Answer filedSep 16, 2005Applicant elected to have the matter decided on the written record.
• Hearing held—No hearing; decided on written record.
• Decision dateFeb 9, 2006

Cite For

• Deliberate Omission of Financial Obligations Under Guideline E
• Financial Irresponsibility as a Disqualifying Condition Under Guideline F
• Lack of Evidence to Mitigate Financial Concerns in Security Clearance Cases