Divorces are never easy, but when large sums of money, businesses, property, investments, and other substantial assets are involved, the process becomes far more complicated. High-asset divorces are especially challenging because the financial stakes are higher, emotions run deeper, and the temptation to manipulate the system can unfortunately lead one party to hide assets.
If you suspect, or know, that your spouse is concealing wealth or property to avoid fair distribution during your divorce, it is important to understand your rights, the potential legal consequences for your spouse, and the practical steps you can take to protect yourself.
At Borshchak Law Group, we work with clients facing these complex situations, particularly in Columbus, Ohio, to ensure every piece of the marital estate is identified, valued, and divided fairly. In this article, we’ll explain what happens if your spouse hides assets during a high-asset divorce, how hidden assets can be uncovered, and the legal remedies you may have available.
The Importance of Full Disclosure in a Divorce
In Ohio and across the United States, both spouses are legally obligated to disclose all assets, income, and debts during divorce proceedings. Full financial transparency is at the foundation of equitable distribution—the standard used in Ohio to divide marital property fairly, though not always equally.
When a spouse chooses to hide assets, they are violating this obligation, which can not only skew the division of marital property but also undermine the integrity of the legal process. Courts take this behavior very seriously, as hidden financial information impacts:
Equitable distribution of marital property
Spousal support determinations
Child support calculations
Post-divorce financial stability for both spouses and children
For example, if one spouse fails to disclose a retirement account or underreports business income, it could result in the other spouse receiving less than their fair share or insufficient support.
High-asset divorces often bring a more complicated financial landscape with stock options, business ownership, overseas accounts, investment portfolios, and complex real estate holdings. The complexity itself sometimes gives unethical spouses the opportunity to obscure their financial reality. Because of this, courts expect an even higher degree of financial scrutiny in these cases.
Ultimately, failure to fully disclose assets is considered not just a violation of marital fiduciary duty but, in many cases, an intentional act of fraud.
Common Methods Spouses Use to Hide Assets
When people imagine hidden assets, the first thought may be of offshore accounts or secret stacks of cash. In truth, the tactics used in high-asset divorces are often more subtle. Some common ways spouses attempt to hide assets include:
Undervaluing Property: A spouse may claim that artwork, jewelry, or collectibles are worth much less than fair market value.
Transferring Assets to Friends or Family: Temporarily “gifting” money or property with the intention of reclaiming it after the divorce is finalized.
Underreporting Income: A business-owning spouse may delay signing new contracts, misrepresent revenue, or overstate operating costs to reduce apparent income.
Overpaying Creditors or Taxes: A spouse might make large prepayments on debts to reduce available marital funds, expecting refunds or credits after the divorce.
Hidden Bank Accounts or Investment Accounts: Opening accounts under different names or in different jurisdictions to keep funds off the radar.
Cryptocurrency Holdings: Using digital assets, which can be difficult to trace without sophisticated forensic accounting.
These tactics are especially common when one spouse holds more control over the couple’s financial records and accounts, which often occurs in marriages where assets are complex.
The more intricate a couple’s financial picture, the easier it is for one to attempt concealment—and the more critical it becomes for the other spouse to hire professionals who can untangle the paper trail.
Red Flags That Suggest Hidden Assets
Even if you don’t have direct proof, there are warning signs that suggest your spouse may be hiding assets. These include:
Withdrawals of large sums of cash with no clear purpose
Sudden “loans” or unexplained payments to friends or family
Overpayments to the IRS or other creditors
New business ventures or investments that suddenly appear or disappear
Unfamiliar financial accounts or statements arriving at the house
A spouse becoming secretive about computer use, passwords, or bank access
Missing financial records such as tax returns, business statements, or pay stubs
In high-asset divorces, it’s not unusual for one spouse to hold most of the financial knowledge. If your spouse resists providing documents, delays responses, or insists you don’t “need to worry about the money,” consider that a major red flag.
Detecting these signs early can allow your legal team to take action, including filing discovery requests, hiring forensic accountants, and petitioning the court for sanctions against dishonest conduct.
The Role of Forensic Accountants in High-Asset Divorces
One of the most powerful tools available when uncovering hidden assets is a forensic accountant. A forensic accountant is trained to identify irregularities, track money across accounts, and provide expert testimony in court. In high-asset divorces, where businesses, multiple investment streams, and even international accounts are involved, their expertise can be critical.
Forensic accountants can:
Reconstruct financial records when key documents are missing
Examine tax returns for inconsistencies between reported income and actual lifestyle
Identify suspicious transfers to third parties or corporations
Analyze business records to uncover improper expense reporting or delayed revenue recognition
Trace cryptocurrency transactions
Create detailed reports documenting hidden funds
The use of forensic accountants signals to the court that thorough investigation is taking place, often putting pressure on the guilty spouse to come forward with previously concealed assets.
Importantly, their documentation and credibility often carry significant weight in a courtroom, because judges rely on expert testimony when deciding whether financial fraud has occurred.
Legal Consequences of Hiding Assets in a Divorce
Attempting to hide assets is a significant legal violation with potentially serious consequences. In Ohio and most jurisdictions, courts can impose penalties for financial dishonesty, including:
Reallocating Hidden Assets: If discovered, the entire value of hidden assets may be awarded to the innocent spouse.
Contempt of Court: Intentionally withholding or misrepresenting financial information can lead to fines, sanctions, or even jail time.
Perjury Charges: If a spouse lies under oath during depositions, hearings, or testimony, they may face perjury charges.
Loss of Credibility: A dishonest spouse may damage their reputation in court, leading judges to rule more favorably for the other spouse on multiple issues such as custody or spousal support.
Courts prioritize fairness, and when deception is discovered, they often correct the imbalance by punishing the wrongdoer harshly.
The more substantial the attempted concealment, the greater the court’s response is likely to be. Judges take seriously the fact that one spouse’s dishonesty undermines not just their partner but the authority of the legal system itself.
The Impact on Property Division
Ohio follows the principle of equitable distribution, which means that marital assets are divided in a way that is fair, but not necessarily equal. When hidden assets are discovered, judges adjust the division to account for the deceit.
For example, if your spouse tried to conceal a $500,000 investment account, a judge might award the entire account to you or offset by giving you other high-value assets to balance the division.
Judges also tend to look less favorably upon spouses who attempt to manipulate financial outcomes—often making rulings that lean toward the honest party as a corrective measure. This could mean giving you more of the marital estate or denying your spouse additional claims.
In extreme cases, Ohio courts have awarded nearly 100% of the hidden asset’s value to the innocent spouse as punishment for the dishonesty.
The Impact on Spousal and Child Support
Hiding assets also directly affects support determinations. Courts calculate spousal support (alimony) and child support based on income, assets, and earning potential.
If one spouse understates income to reduce support obligations, courts may:
Recalculate support orders using the true income once uncovered
Require repayment of underpaid support retroactively
Impose additional fines or sanctions
For child support cases, Ohio law prioritizes the child’s best interests. Hiding assets to avoid supporting one’s children is taken very seriously and can dramatically increase support obligations once revealed.
In short, dishonesty does not save money—it often leads to greater financial obligation.
Legal Remedies Available to the Innocent Spouse
If you suspect your spouse is hiding assets, there are several remedies available:
Discovery Requests: Your attorney can request financial statements, tax returns, and other documents through formal discovery.
Depositions: Attorneys may question your spouse under oath, forcing them to reveal truthful information about finances.
Subpoenas: Banks, employers, and other entities can be compelled to provide documents that reveal hidden accounts or income.
Motion for Sanctions: If your spouse fails to comply with court orders, your attorney may request financial penalties.
Court Reallocation of Property: As mentioned earlier, judges may reallocate assets in your favor.
These remedies ensure that you are not taken advantage of and that hidden wealth does not deprive you of your rightful share.
Steps You Can Take If You Suspect Hidden Assets
Taking proactive action is crucial. If you suspect your spouse is concealing assets:
Gather as many financial documents as possible before filing for divorce (tax returns, account statements, loan documents, property deeds, business financials).
Maintain copies of records in a secure location.
Pay attention to changes in spending habits or secretive behavior.
Work closely with a divorce attorney experienced in high-asset cases.
Consider hiring a forensic accountant early in the process.
By taking these steps, you strengthen your position in court and reduce the likelihood that your spouse’s deception will succeed.
Why Hiring an Experienced Family Law Attorney Matters
High-asset divorces require an attorney with not only family law experience but also strong financial acumen. At Borshchak Law Group, we regularly handle cases where one spouse attempts to conceal assets, undervalue property, or manipulate financial records.
We work alongside forensic accountants and other experts to build a solid case, ensuring every marital asset is accounted for. Without skilled legal representation, it is easy to overlook hidden accounts, especially in complex financial situations.
A seasoned attorney will not only help uncover hidden assets but will also know how to present these findings persuasively in court, ensuring your rights are safeguarded throughout.
Protecting Your Future in a High-Asset Divorce
Hiding assets in a high-asset divorce is not just unethical—it is illegal. Courts in Ohio take these situations very seriously, and a spouse caught concealing property or income risks losing those assets, paying substantial penalties, and damaging their credibility in the eyes of the court.
If you suspect your spouse is hiding assets, do not hesitate to act. With the right legal team, financial experts, and documentation strategy, hidden wealth can be uncovered, ensuring you receive the fair settlement you are entitled to.
At Borshchak Law Group, our Columbus family law attorneys specialize in high-asset divorces and understand how to recognize red flags, pursue full financial discovery, and hold dishonest spouses accountable. Contact us today to schedule a consultation and protect your rightful share of the marital estate.