Summary
A 43-year-old customer service representative was denied a security clearance due to concerns under Guideline E (Personal Conduct) and Guideline F (Financial Considerations). The applicant had accumulated over $21,422 in delinquent debts, including multiple credit card accounts charged off between 2000 and 2004, an automobile repossession debt from 2003, and a $4,000 debt to the Internal Revenue Service for unpaid taxes since 2001.
A key factor in the denial was the applicant's deliberate failure to disclose these delinquent accounts on her trustworthiness application, which raised concerns about her candor. Although the applicant claimed financial hardship due to supporting ill parents, the decision noted a lack of proactive effort to resolve her financial issues.
Ultimately, the applicant's unresolved financial situation and the deliberate omission of debts on her application led to the denial of her eligibility for a sensitive position.
Why the Applicant Was Denied
- Applicant incurred over $21,422 in delinquent debt since 1998 and failed to file tax returns since 2001.
- Applicant deliberately omitted her delinquent accounts from her security clearance application, indicating a lack of candor.
- Applicant's financial situation remains unresolved, with no substantial efforts made to mitigate her debts.
Conditions Referenced
- E2.A6.1.2.1raisedA History of Not Meeting Financial Obligations
- E2.A6.1.2.3raisedInability or Unwillingness to Satisfy Debts
- E2.A5.1.2.2raisedThe Deliberate Omission, Concealment, or Falsification of Relevant and Material Facts
- E2.A6.1.3.3appliedThe Conditions That Resulted in the Behavior Were Largely Beyond the Person's Control
- 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 Under ControlApplicant's promise to seek credit counseling was insufficient to mitigate concerns.
- E2.A6.1.3.1rejectedThe Behavior Was Not RecentApplicant's debts remain outstanding.
- E2.A6.1.3.2rejectedThe Behavior Was IsolatedApplicant has multiple ongoing debts.
- E2.A6.1.3.6rejectedThe Individual Initiated a Good-faith Effort to Repay Overdue Creditors or Otherwise Resolve DebtsApplicant did not pursue bankruptcy or repayment plans prior to the hearing.
Key Rule Quoted
“"The adjudicative process is an examination of a sufficient period of a person's life to make an affirmative determination that the person is eligible for a security clearance."”
Procedural Posture
- SOR issuedJul 14, 2006
- Answer filedAug 7, 2006
- Hearing heldOct 5, 2006
- Decision dateNov 28, 2006
Cite For
- Deliberate Omission of Financial Obligations Under Guideline E
- Significant Delinquent Debt Impacting Security Clearance Under Guideline F
- Failure to Mitigate Financial Concerns Despite Claims of Hardship