Summary
The applicant, a pro se individual, sought a security clearance under Guideline F concerning financial considerations. He was found to have significant unresolved debts totaling over $61,000, with no payments made for over five years until a repayment plan was initiated shortly before the hearing. The judge concluded that the applicant's late efforts to address his financial issues were insufficient to mitigate the concerns regarding his judgment and reliability, resulting in a denial of the security clearance.
Under Guideline F (Financial Considerations), the Statement of Reasons alleged the following: Applicant is indebted to thirteen creditors for the following amounts: creditor #1 since March 1991 for $1700 (1.a). Applicant is indebted to thirteen creditors for the following amounts: creditor #2 since March 1991 for an unpaid balance of $3,522 (1.b). Applicant is indebted to thirteen creditors for the following amounts: creditor #3 for an unpaid account balance of $1074 since September 1991 (1.c). Applicant is indebted to thirteen creditors for the following amounts: creditor #4 for an unpaid account balance of $427 since September 1991 (1.d). Applicant is indebted to thirteen creditors for the following amounts: creditor #5 for approximately $5200 since November 1991 (1.e). Applicant is indebted to thirteen creditors for the following amounts: creditor #6 for $5500 since November 1991 (1.f). Applicant is indebted to thirteen creditors for the following amounts: creditor #7 for unpaid child support of $16,640 since May 1992 (1.g). Applicant is indebted to thirteen creditors for the following amounts: creditor #8 for $369 since August 1992 (1.h). Applicant is indebted to thirteen creditors for the following amounts: creditor #9 for an unpaid account of $710 (1.i). Applicant is indebted to thirteen creditors for the following amounts: creditor #10 for an unpaid balance of $116 since March 1993 (1.j). Applicant is indebted to thirteen creditors for the following amounts: creditor #11 for an unpaid balance of $18,749 (1.k). Applicant is indebted to thirteen creditors for the following amounts: creditor #12 for an unpaid balance of approximately $70 since about April 1994 (1.l). Applicant is indebted to thirteen creditors for the following amounts: creditor #13 for a deficit balance of $7,373 due for a repossessed auto turned over for collection in July 1994 (1.m). Applicant's monthly remainder is $900 after payment of all expenses (1.n).
The judge denied the clearance. The government raised disqualifying conditions F.1, F.3. The decision turned on the following: The applicant had a history of not meeting financial obligations; He failed to take any action to resolve his debts for over five years; The applicant's credibility was undermined by his lack of supporting documentation for his claims of financial management.
Why the applicant was denied
- The applicant had a history of not meeting financial obligations.
- He failed to take any action to resolve his debts for over five years.
- The applicant's credibility was undermined by his lack of supporting documentation for his claims of financial management.
Conditions referenced
- F.1raisedFinancial ConsiderationsThe applicant has a history of not meeting financial obligations.
- F.3raisedFinancial ConsiderationsThe applicant demonstrated an inability or unwillingness to satisfy debts.
Key rule quoted
“The granting (or continuance) of a security clearance under this Directive may only be done upon a finding that to do so is clearly consistent with the national interest.”
Procedural posture
- SOR issuedDec 2, 1996
- Answer filedDec 20, 1996
- Hearing heldApr 15, 1997
- Decision dateJun 3, 1997
Cite for
- Denial Based on Significant Unresolved Financial Obligations
- Credibility Issues Due to Lack of Documentation
- Failure to Demonstrate Rehabilitation or Proactive Debt Management