A court expects a full and honest financial disclosure...04/04/2016
...dishonesty doesn’t pay!
In this case the husband lied, attempted to hide money and refused to adhere to court orders. He made claims that could not back up with evidence or credible witness statements but his attempts to thwart his former wife, failed when the court forced him to pay his wife in full.
During initial divorce proceedings the husband was ordered to pay his former wife an amount of £80,000. The husband claimed that the wife had agreed to accept a lower amount of £40,000. He further claimed that he had borrowed £40,000 from his brother and handed it to his former wife. She denied firstly agreeing to a lower amount and secondly receiving a payment of £40,000.
The husband then claimed he could provide evidence of the money being handed over. He had taken photos of the transaction but had ‘lost his phone’. He also claimed there were witnesses and social media messages that proved his wife had accepted the money – this evidence never materialised.
The husband was in possession of the money to pay his wife. He had inherited a property from his parents and during the initial court proceeding a court order was imposed to prevent him from selling the property. He breached the court order and sold the property but the money from the sale was transferred into his brothers account. The brother then transferred £130,000 into the husbands account which the husband claimed he then spent on gambling. He claimed the amount left in his brother’s account was to pay back a debt.
The court did not believe a word of the husbands claims. The court further stated that the behaviour of the husband and the brother was ‘disgraceful’. The court imposed a freezing order on the brothers bank account which still contained £110,000 from the proceeds of the property sale. The court then made a final third party order against the bank for £108,854 which covered the original lump sum of £80,000 plus statutory interest of £8,454 and amount to cover the wife’s legal costs.
If you suspect your formers spouse is hiding assets or making false claims about their financial position there are methods to investigate and we can advise on these methods and the potential implications. As illustrated by this case the court frowns upon dishonesty, will always expect a full financial disclosure and has the powers to ensure people adhere to court orders
Visit the Divorce and Finances section of this website for more information. In the Negotiating a Divorce Settlement section we answer the question 'What happens if I think my spouse is hiding financial assets?'