In divorce litigation—and especially in high-asset or high-net-worth divorces in which there is significant marital or community property—any financial manipulation or fraud of personal or business finances may have a significant effect on the marital or community property that is available for division, and on spousal support and child support payment amounts.

One or both spouses in a divorce may hire a forensic accountant to discover any hidden or secreted assets or manipulated financial documents that may prevent the court from having an accurate accounting of the marital or community property assets and the spouses’ incomes.

A forensic accountant is generally an accountant with expertise in detecting financial fraud or manipulation in personal and business tax returns, bank accounts, investment accounts, retirement accounts, broker accounts, offshore accounts, cash, cryptocurrency, jewels, art, cars, yachts, airplanes, real estate, life insurance policies, and related financial documents.

This financial investigation work is often referred to as tracing, financial tracing, asset tracing, or forensic accounting, and generally involves “following the money” by tracing a piece of financial information or data back to its source.

In Wyoming, during divorce proceedings, the equitable distribution of marital property is a key concern, particularly in high-asset or high-net-worth cases. Wyoming is not a community property state; instead, it follows the principles of equitable distribution, meaning that marital property is divided in a manner that is fair but not necessarily equal. Financial manipulation or fraud can significantly impact the division of assets, as well as spousal and child support determinations. To ensure a fair division, one or both spouses may engage a forensic accountant to uncover any concealed assets or financial discrepancies. Forensic accountants specialize in identifying irregularities in various financial documents and assets, including tax returns, bank and investment accounts, and tangible assets like real estate and luxury items. Their role is to conduct a thorough financial investigation, often referred to as tracing or asset tracing, to provide the court with an accurate representation of each spouse's financial standing. Wyoming courts rely on the evidence presented to make informed decisions regarding asset division and support obligations.