What Are the Consequences of Hiding Assets in Divorce?

 Posted on June 28,2021 in Division of Property

When you file for divorce in Illinois, you are required to disclose all of your assets. However, some people may feel that they deserve a bigger share than their spouse, so they attempt to conceal their assets. This is one of the biggest mistakes you can make during the divorce process. If you get caught, you may face legal trouble.

Different Ways Spouses Hide Assets

The division of assets is one of the most difficult battles couples face in divorce court. When people believe that they deserve more than they will actually get, they may try to conceal the assets in several different ways, such as:

• Pursuing shady business deals - Some individuals who are getting ready to divorce may enlist the help of business partners to conceal their assets. For example, a person may ask a business partner to withhold commissions until the divorce is finalized.

• Creating accounts in a child’s name - People attempting to hide assets may try to put their assets in their child’s name. Since these accounts will not show up on either parent’s financial statements, the court may sometimes overlook them.

• Buying physical property - Other times, divorcing spouses may purchase physical property, such as jewelry or art, in order to hide assets. The other spouse may assume the asset is valued much lower than it actually is and assign that value during asset division. That is why all assets should be valued by an auditor during divorce proceedings.

Penalties for Hiding Assets in a Divorce

If there is animosity between you and your spouse, you may feel tempted to hide some of your assets. Although there is a chance you may never get caught, the risks are still too high. For one thing, the judge may order you to pay a larger share to your spouse. He or she may also force you to pay your spouse's attorney and court fees.

In severe cases, the judge may sentence you to jail for lying about your assets under oath.

Contact a Kane County Divorce Lawyer Today

If you have additional questions about asset division, you should get in touch with a St. Charles, IL divorce attorney. At the Law Office of Matthew M. Williams, P.C., we understand that the divorce process can be very overwhelming and want to guide you every step of the way. We encourage you to call us at 630-409-8184 to schedule a confidential consultation.

Source: https://www.forbes.com/sites/jefflanders/2012/11/14/what-are-the-consequences-of-hiding-assets-during-divorce/?sh=5d4ac8e2190c