How to Find Out if Someone Is Hiding Assets in a Divorce
Divorce is difficult enough without wondering whether your spouse is being completely honest about your finances. When significant assets, investments, business interests, or income are involved, uncertainty about what your spouse owns can make an already stressful process even more complicated.
In California, both spouses are required to provide financial disclosures during a divorce. These disclosures are intended to provide information about what each person owns, owes, earns, and spends. Financial documents can include tax returns, income information, bank and investment account statements, property records, retirement accounts, and other documentation.
But what happens when the information you receive doesn’t seem to tell the whole story?
Perhaps your spouse’s reported income doesn’t appear consistent with their lifestyle. Maybe you know about a business interest or investment that hasn’t been disclosed. You may have noticed unusual financial activity, transfers, or purchases that raise questions about where money is going.
These situations don’t necessarily mean assets are being hidden. There may be legitimate explanations for financial discrepancies. However, when you have reasonable concerns, obtaining reliable information can be important before making decisions about property division, support, or settlement.
This is where a professional private investigator can potentially assist.
At Kinsey Investigations, we understand that financial investigations require discretion, attention to detail, and a methodical approach. Our Los Angeles-area private investigators can work with clients and their legal teams to investigate financial circumstances and pursue information that may help clarify questions surrounding potentially undisclosed assets.
What Does Hiding Assets Look Like?
Concealing assets can take many forms, and it isn’t always obvious from a single bank statement or financial document.
Potential warning signs can include unexplained changes in income, unusual financial transactions, transfers to accounts you don’t recognize, or sudden purchases or sales of valuable property. In some cases, a spouse may have an ownership interest in a business or other asset that isn’t immediately apparent.
Lifestyle can also raise questions. If someone appears to be spending substantially more than their reported income would suggest, for example, it may be reasonable to ask where those funds are coming from.
Again, a red flag isn’t proof of wrongdoing. The purpose of an investigation is to gather information and facts, not to make assumptions.
Why Financial Disclosures May Not Tell the Whole Story
California’s divorce process requires spouses to exchange financial information. The state’s courts specifically advise people to review disclosures carefully and request additional information if something appears to be missing or unclear.
However, understanding a person’s complete financial picture can sometimes require more than reviewing the documents provided by a spouse.
A private investigator can approach an investigation from a different perspective, looking for information and connections that may help explain inconsistencies or identify areas that deserve further attention.
Depending on the circumstances and the scope of an investigation, this can involve researching public records, examining available information about businesses and property, conducting interviews, or pursuing other lawful investigative avenues.
Common Areas an Investigator May Examine
Every investigation is different. There is no one-size-fits-all process for locating potentially undisclosed assets.
Depending on the circumstances, an investigation may involve looking into:
- Real estate ownership and property interests
- Business ownership or affiliations
- Publicly available corporate records
- Potentially undisclosed sources of income
- Financial relationships or business connections
- Transfers or transactions that warrant additional investigation
- Valuable assets that may not appear in an initial disclosure
- Information that can help clarify discrepancies in a spouse’s financial picture
The goal isn’t simply to collect as much information as possible. A professional investigation should focus on the specific questions and concerns relevant to the case.
Why Los Angeles Can Make Investigations More Complex
Los Angeles is a vast and economically diverse region. Property, businesses, investments, and financial interests can extend across multiple cities and counties, making an investigation more complicated than simply searching a single local database.
A spouse may live in one community, own property somewhere else, operate a business in another location, and have professional or personal connections throughout Southern California.
Local knowledge can be valuable when an investigation requires research or fieldwork across the Los Angeles area. At Kinsey Investigations, our familiarity with the region allows us to approach investigations with an understanding of the geography and the unique challenges involved.
How a Private Investigator Can Work With Your Attorney
A private investigator is not a replacement for an attorney, accountant, or other financial professional. Instead, an investigator can serve as part of the broader team working to uncover relevant information.
If your attorney has identified specific concerns, communicating those concerns to your investigator can help create a focused investigative strategy. Findings can then be provided to the appropriate parties for review and determination of how they may be relevant to the divorce.
California courts recognize discovery as a way to obtain information about issues such as property, money, and debt, including assets that one spouse may not be able to access independently. Information obtained through discovery may be used to help negotiate an agreement or present evidence in court.
Your attorney can advise you on the legal significance of information uncovered during an investigation and how it should be handled within your case.
Don’t Let Unanswered Financial Questions Go Unaddressed
Divorce often involves major financial decisions, and those decisions are easier to make when you have a clear understanding of the financial picture.
If something doesn’t add up, you don’t necessarily have to rely on assumptions or continue wondering what you’re missing. A professional investigation may help uncover information that deserves further consideration.
At Kinsey Investigations, we provide discreet, professional private investigative services for clients throughout the Los Angeles area. We understand how sensitive financial investigations can be, particularly when they involve a marriage, family, and significant personal assets.
If you have concerns about potentially hidden assets, undisclosed income, business interests, property, or other financial matters during a divorce, contact Kinsey Investigations today for a free, confidential consultation. We’ll listen to your concerns, discuss your situation, and help you understand how a professional investigation may be able to assist.
