Summary
The applicant, a 42-year-old federal contractor, faced security clearance denial due to significant unpaid debts and a history of larceny convictions. His failure to disclose financial delinquencies and criminal history on his security clearance application, coupled with evasive and untruthful testimony, led to the conclusion that he did not mitigate the security concerns under Guidelines E, F, and J.
Under Guideline E (Personal Conduct), Guideline F (Financial Considerations), and Guideline J (Criminal Conduct), the Statement of Reasons alleged the following: Applicant deliberately failed to list his financial delinquencies and his two larceny convictions on his security clearance application (3.a). His testimony was repeatedly evasive, unbelievable and untruthful (3.b). Applicant intentionally falsified his SCA when he failed to list he had been charged and convicted of larceny in 2000 (3.c). Applicant's testimony was incredible and evasive (3.d). Military loan obtained in 1999, balance as of 10/23/2006 $1,083 (1.a). Military lending loan obtained in 1999, amount $889 (1.b). Medical bill, amount $111, owed since November 2000 (1.c). Medical bill, amount $111, owed since November 2000 (1.d). Medical bill, amount $111, owed since November 2000 (1.e). Credit card, amount $2,377, owed since March 2001 (1.f). Judgment, $189, owed since September 2001, medical debt (1.g). Credit card, bought computer September 2001 (1.h). Debt for pizza delivery, owed since May 2003, for $41 (1.i). Debt for pizza delivery, owed since May 2003, for $42 (1.j). Federal tax debt, year 2004, includes taxes, penalties, interest, $704 (1.k). Federal tax debt, year 2005, includes taxes, penalties, interest, $1,115 (1.l). State tax owed $240, including penalties and interest (1.m).
The judge denied the clearance. The government raised disqualifying conditions E2.A6.1.2.1, E2.A6.1.2.3, E2.A10.1.2.1, E2.A10.1.2.2, E2.A5.1.2.2. The decision turned on the following: Applicant has substantial delinquent debt that remains unpaid; Applicant deliberately failed to disclose financial delinquencies and two larceny convictions on his security clearance application; Applicant's testimony was evasive, unbelievable, and untruthful.
Why the Applicant Was Denied
- Applicant has substantial delinquent debt that remains unpaid.
- Applicant deliberately failed to disclose financial delinquencies and two larceny convictions on his security clearance application.
- Applicant's testimony was evasive, unbelievable, and untruthful.
Conditions Referenced
- E2.A6.1.2.1appliedA History of Not Meeting Financial Obligations
- E2.A6.1.2.3appliedInability or Unwillingness to Satisfy Debts
- E2.A10.1.2.1appliedAllegations or Admissions of Criminal Conduct
- E2.A10.1.2.2appliedA Single Serious Crime or Multiple Lesser Offenses
- E2.A5.1.2.2appliedThe Deliberate Omission, Concealment or Falsification of Relevant and Material Facts
Key Rule Quoted
“No one has a right to a security clearance and the clearly consistent standard indicates that security clearance determinations should err, if they must, on the side of denials.”
Procedural Posture
- SOR issuedJun 12, 2006
- Answer filedJul 5, 2006
- Hearing heldNov 2, 2006
- Decision dateNov 30, 2006
Cite For
- Denial Based on Significant Financial Delinquencies Under Guideline F
- Denial Due to Criminal Conduct Under Guideline J
- Failure to Disclose Relevant Information on Security Clearance Application Under Guideline E