Indiana couples like you have a lot to go through when getting a divorce. The more assets you have, the harder asset division is going to get, too. You have a lot to keep track of, and sometimes, a spouse may attempt to take advantage of that.
They do so by attempting to hide assets. But why do they do this? How do they carry it out? And are there significant consequences if you catch them in the act?
What are the penalties for hiding assets?
Forbes looks at potential consequences for hiding assets during divorce. The first thing to note is that the consequences are in fact very significant. This is because hiding assets is an act of perjury. When you start a contested divorce, you must sign a financial affidavit. This says you are telling the truth about your finances to the best of your ability. If the court finds that you lied on purpose, you are in contempt of court.
The penalties for this can include incarceration and fines or fees. In addition, the judge presiding over your case can add extra penalties. In one case, the court ordered a man to pay for his ex-spouse’s attorney fees. In another, the judge awarded all hidden assets to the ex-spouse.
Why do people hide assets?
As for why someone hides assets, there are many reasons. They may feel you do not deserve it. They may think they are not getting enough and want more than their fair share. They often go to lengths to hide these assets, too. Some cases involve sending paychecks to made-up employees. Others involve paying off fake debts to family members or friends, who return the money after the divorce gets finalized. If you have suspicions of hidden assets, consult your legal team first.