CAN A CLEARANCE UPGRADE DENIAL CAUSE ME TO LOSE MY EXISTING CLEARANCE?

Yes, it can.  The National Security Adjudicative Guidelines outline the criteria by which individuals are considered for eligibility for access to classified information.  The Guidelines are the same no matter the level of clearance being considered; only the depth of investigation/level of scrutiny applied is different.  It is possible to for a clearance holder seeking an upgrade to face a clearance denial based upon the same security concerns previously considered when a lower-level security clearance was approved and/or a different agency was involved.  More commonly, however, is the situation where derogatory information was not properly disclosed during a previous adjudication or occurred since the time of the last adjudication, and that information is now revealed on clearance-related a form or discovered during a background investigation, interview or polygraph.  If the unfavorable information rises to the level of a denial or revocation of the higher-level clearance, the lower-level clearance with that agency will follow suit.  This derogatory information may also be shared with other agencies where an applicant holds a clearance.  Similarly, in the case of SCI access, an applicant could be denied based upon behaviors that might not result in denial of a Top Secret clearance.  The initial denial of SCI access will suspend existing collateral clearances until a final resolution is reached, and could result in a revocation of collateral clearance(s) if the clearance suspension  or underlying information results in an adjudication and/or negative employment decision.  A lot of thought should be put into the decision of whether to go for that job requiring an upgrade to your clearance, and the attorneys at JAG Defense can assist you in considering the possible outcomes.