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Thousands are so mired they're considered at risk for bribery, espionage
The Associated Press


Updated: 7:38 p.m. ET Oct 19, 2006
SAN DIEGO - Thousands of U.S. troops are being barred from overseas duty
because they are so deep in debt they are considered security risks,
according to an Associated Press review of military records.
The number of troops held back has climbed dramatically in the past few
years. And while they appear to represent a very small percentage of all
U.S. military personnel, the increase is occurring at a time when the armed
forces are stretched thin by the wars in Iraq and Afghanistan.
"We are seeing an alarming trend in degrading financial health," said Navy
Capt. Mark D. Patton, commanding officer at San Diego's Naval Base Point
Loma.
The Pentagon contends financial problems can distract personnel from their
duties or make them vulnerable to bribery and treason. As a result, those
who fall heavily into debt can be stripped of the security clearances they
need to go overseas.
While the number of revoked clearances has surged since the beginning of the
Iraq war, military officials say there is no evidence that service members
are deliberately running up debts to stay out of harm's way.
Officials also say the increase has not undermined the military's fighting
ability, though some say it has complicated the job of assembling some of
the units needed in Iraq or Afghanistan.
One problem, numerous causes
The problem is attributed to a lack of financial smarts among recruits;
reckless spending among those exhilarated to make it home alive from a tour
of duty; and the profusion of "payday lenders" - businesses that allow
military personnel to borrow against their next paycheck at extremely high
interest rates.
The debt problems persist despite crackdowns on payday lenders and the
financial counseling the Pentagon routinely offers to the troops.
Data supplied to the AP by the Navy, Marines and Air Force show that the
number of clearances revoked for financial reasons rose every year between
2002 and 2005, climbing ninefold from 284 at the start of the period to
2,654 last year. Partial numbers from this year suggest the trend continues.
More than 6,300 troops in the three branches lost their clearances during
that four-year period. Roughly 900,000 people are serving in the three
branches, though not all need clearances.
Army withholds financial data
The figures gathered by the AP represent just a piece of problem, because
the Army - which employs an additional 500,000 people and accounts for the
vast majority of the 160,000 U.S. troops in Iraq and Afghanistan - rejected
repeated requests over the past month to supply its data, saying such
information is confidential.
At Point Loma, Patton said clearance revocations in key areas such as
military police forces have gotten so common that he often looks for two
sailors to fill a single posting.
Still, Patton said he had never heard of anyone racking up bills to get out
of combat. "There are folks who find ways of avoiding being deployed, as
there always will be, but I've never seen any do it through finances," he
said.
Security clearances are revoked when service members' debt payments amount
to 30 percent to 40 percent of their salary. The exact amount depends on the
military branch.
There are three levels of clearance - confidential, secret and top secret.
Not all troops need clearance. Marine infantrymen don't, but some Marine
specialists, such as those in intelligence, do. So do many jobs in the Navy
and Air Force.
Secrets for sale?
Financial problems are the overwhelming reason security clearances are
revoked. Other reasons include criminal activity, questionable allegiance
and ill health.
A key reason the military revokes clearances on financial grounds is the
fear that soldiers in debt might be tempted to sell secrets or equipment to
the enemy.