Summary
A 24-year-old defense contractor employee was denied a security clearance for an Information Systems Position designated ADP-II, primarily under Guideline F (Financial Considerations). The applicant faced ten delinquent liabilities totaling approximately $15,675. These debts included a collection account from May 2000, a store credit card charged off in December 2001, and multiple emergency medical expenses placed for collection between February 2001 and June 2003.
Despite being employed, the applicant made no efforts to pay her debts. She expressed an intention to file for bankruptcy but had not taken action by the time of the decision. The judge cited a lack of evidence of financial responsibility and resolution efforts, noting her inaction and vague intentions regarding debt resolution.
The decision highlighted disqualifying conditions related to a history of not meeting financial obligations and an inability or unwillingness to satisfy debts. While mitigating conditions concerning the debts arising from circumstances beyond her control (medical expenses) and the debts being resolved or in the process of being resolved were considered, they were not sufficient to overcome the concerns. Ultimately, the judge found substantial doubts regarding her eligibility, leading to the denial of her security clearance.
Why the Applicant Was Denied
- The applicant had 10 delinquent liabilities totaling approximately $15,675, with no efforts made to pay them.
- She planned to file for bankruptcy but had not done so by the time of the decision, indicating a lack of initiative to resolve her financial issues.
- The judge found substantial doubts regarding her eligibility due to her inaction and vague intentions regarding debt resolution.
Conditions Referenced
- E2.A6.1.2.1raisedHistory of Not Meeting Financial Obligations
- E2.A6.1.2.3raisedInability or Unwillingness to Satisfy Debts
- E2.A6.1.3.3appliedConditions Largely Beyond the Person's Control
- E2.A6.1.3.6rejectedGood-faith Effort to Repay Overdue CreditorsThe applicant's years of inaction negate any application of this condition.
- E2.A6.1.3.4rejectedReceived Counseling for the ProblemNo clear evidence of financial counseling or debt resolution efforts was provided.
Key Rule Quoted
“An individual who is financially overextended is at risk of having to engage in illegal acts to generate funds.”
Procedural Posture
- SOR issuedNov 8, 2005
- Answer filedDec 6, 2005Applicant elected to have the case decided on the written record.
- Hearing held—No hearing; decision based on written record.
- Decision dateApr 4, 2006
Cite For
- Denial of Eligibility Due to Significant Financial Issues Under Guideline F
- Lack of Evidence of Efforts to Resolve Financial Obligations
- Impact of Financial Irresponsibility on Security Clearance Eligibility