The property division process is usually among the most contentious aspects of divorce proceedings. Spouses may attempt to conceal assets for financial gain or to avoid obligations. This can take many forms, from offshore accounts and undisclosed income to undervalued property and asset transfers.
Hiding property during divorce is not only unethical but it is unlawful too. Full disclosure is required during litigated divorce proceedings to ensure an equitable distribution of the marital assets. As such, you should take swift and appropriate action to safeguard your rights if you notice hidden assets during your divorce.
Signs to look out for
Your spouse may hide assets in various ways in the lead-up to or during your divorce. Therefore, it can help to be aware of the red flags that could point to potential financial deception. They include:
- Large withdrawals, transfers to unknown accounts or unexplained expenses
- Missing or altered financial documents
- Complex financial transactions
- A sudden decrease in income
- Lifestyle discrepancies
- Reluctance to provide financial information
Some of these signs may not be immediately apparent, and it may be a good idea to consider engaging a forensic accountant or private investigator to help substantiate your claims. Remember, you’ll need to provide the court with evidence of these hidden assets; mere allegations won’t result in any meaningful results. Gathering financial statements, bank details, tax returns and other relevant documents can significantly help to prove your case.
Most importantly, consider seeking legal guidance to understand your options and what steps you can take to protect your financial interests. For instance, your spouse may be compelled by the court to provide specific information, such as personal bank account statements, that would otherwise be inaccessible. This kind of effort can go a long way in proving your claims and safeguarding your share of your marital estate.
