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The Divorce Encyclopedia
Secretion of Assets

Term Definition Secretion of Assets - the hiding of assets.
Application in Divorce As it applies to divorce, the secretion of assets is an attempt by one spouse to hide assets that might be subject to distribution as part of the marital property settlement.

Very often, when one party is contemplating a divorce, he (or she) hides assets that might otherwise be eligible for distribution as part of the property settlement. Very often women are at a disadvantage at the outset of a divorce because the husband very often manages his money and her money and their money, and the wife has a limited understanding of their assets and liabilities.

Sometimes these machinations become quite complicated and require a forensic accountant who can analyze financial records for evidence of dissipation and secretion. For example, a forensic accountant examines UCC filings for evidence of collusion with a business partner in hiding or misrepresenting marital assets.

A certified fraud examiner can be called to testify as an expert witness.

Assets can sometimes be hidden in a variety of ways. For example, assets can be hidden as false debts to friends or in a closely held business. Unusual expenses are another red flag.

Judges look very unfavorably on both dissipation and hiding of assets.

See also UCC Filings.

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