Candidate with a bad background?

It might be a good idea to pause and give the person a moment to respond, if he wishes to do so.

If the person says that the record you received is in error, you should give him the chance to prove that to be the case giving him a definite deadline to produce documentation that proves his contention.

I suggest you should verified all this information before any conclusion:

Official records including felonies, misdemeanors and Federal charges

Sex offender records

Arrest record

Civil records including bankruptcies, tax liens, law suits and judgements

Social Security number verification

Death Index to make sure identity it's not stolen

Date of birth verification

Drug treatment facilities

Spouse search

Professional license

Business ownership

Property ownership

All reports are FCRA, DPPA and GLB compliant

Otherwise, you could conclude with: "I am sure that you can understand that due to the nature of our business, we cannot have someone on our staff with this kind of record. We appreciate your interest in working with us and sincerely wish you the best."