Summary
The applicant, a 36-year-old electrician employed by a defense contractor, faced security clearance denial under Guideline F due to a significant history of financial problems, including multiple unsatisfied judgments and charged-off accounts. The applicant failed to provide evidence to mitigate the financial concerns, leading to the conclusion that granting a clearance was not consistent with national interest.
Under Guideline F (Financial Considerations), the Statement of Reasons alleged the following: Judgment entered against Applicant in the amount of $4,064 (1.a). Judgment entered against him in the amount of $512 (1.b). Judgment entered against him in the amount of $2,549.67 (1.c). Judgment entered against him in the approximate amount of $227 (1.d). Two charged off accounts in the amounts of $339 and $346 (1.e). Five accounts with the same creditor that are 120 days past due in the approximate total amount of $679 (1.f). Total amount of delinquent debts and judgments identified in the SOR totals $8,716.67 (1.g).
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.A6.1.3.3, E2.A6.1.3.4, E2.A6.1.3.6. The decision turned on the following: The applicant has a long history of financial problems, including unsatisfied judgments and charged-off accounts; The applicant provided no evidence to mitigate the financial concerns raised in the Statement of Reasons (SOR); The applicant failed to demonstrate a good-faith effort to resolve his debts or provide a repayment plan.
Why the Applicant Was Denied
- The applicant has a long history of financial problems, including unsatisfied judgments and charged-off accounts.
- The applicant provided no evidence to mitigate the financial concerns raised in the Statement of Reasons (SOR).
- The applicant failed to demonstrate a good-faith effort to resolve his debts or provide a repayment plan.
Conditions Referenced
- E2.A6.1.2.1raisedA History of Not Meeting Financial Obligations
- E2.A6.1.2.3raisedInability or Unwillingness to Satisfy Debts
- E2.A6.1.3.3rejectedThe Conditions That Resulted in the Behavior Were Largely Beyond the Person's ControlThe applicant provided no evidence as to the cause of his delinquent debts.
- E2.A6.1.3.4rejectedThe Person Has Received or Is Receiving Counseling for the Problem and There Are Clear Indications That the Problem Is Being Resolved or Is Under ControlThere is no evidence of the applicant seeking financial counseling.
- E2.A6.1.3.6rejectedThe Individual Initiated a Good-faith Effort to Repay Overdue Creditors or Otherwise Resolve Bad DebtsThe applicant chose not to respond to requests for documentation of efforts to resolve financial difficulties.
Key Rule Quoted
“No one has a 'right' to a security clearance.”
Procedural Posture
- SOR issuedJun 12, 2006
- Answer filedJul 2, 2006Applicant requested a decision without a hearing.
- Hearing held—
- Decision dateDec 29, 2006
Cite For
- Denial of Security Clearance Due to Unresolved Financial Obligations
- Failure to Provide Mitigating Evidence in Financial Considerations Cases
- Impact of Financial Irresponsibility on Security Clearance Eligibility