The Importance of Financial Disclosure

Co-authored by Grace Jolly

KEY TAKE OUTS:

• A Melbourne man has been sentenced to 18 months imprisonment for providing false financial disclosure evidence to the Federal Circuit and Family Court of Australia.
• Full and frank financial disclosure is a legal requirement under Rule 6.05 of the Family Law Rules 2021.
• This case is an example to warn against attempting to mislead the Court during Family Law proceedings, demonstrating the importance of transparency and honesty.

On 3 April 2025, a Melbourne man has been sentenced to 18 months imprisonment for providing falsified evidence to the Federal Circuit and Family Court of Australia (FCFCOA). This case example is a reminder of the importance that honestly plays in full and frank disclosure obligations.

In 2017, the man commenced proceedings in the FCFCOA seeking asset and parenting orders following a relationship breakdown with this de-facto partner. A second de-facto partner also made a claim for parts of the asset pool and was deemed eligible to be considered in the Court’s ruling. In cases such as these, it is essential that all parties provide full and frank disclosure to ensure a fair and just ruling. This is stipulated under Rule 6.05 of the Federal Circuit and Family Court of Australia (Family Law) Rules 2021.

On 7 August 2020, the Judge discovered that the man had not provided proper and complete financial disclosure documents, and had deliberately falsified documents, meaning he gave false evidence to the Court. He misrepresented the sale of a business, forged bank documents, emails and other documents to obscure assets valued at over $4 million.

From this discovery, the Judge referred him to the authorities whereby the AFP conducted its investigation.

On 23 August 2024, he was sentenced to 18 months imprisonment, six of which are to be served in custody. The remaining 12 months will be suspended on the condition that he remains of good behaviour for the next 3 years. He was charged with one count of giving false testimony in a federal judicial proceeding contrary to section 35 of the Crimes Act 1900 (Cth) and one count of fabricating evidence in a federal judicial proceeding contrary to section 36 of the Crimes Act 1900 (Cth).

The importance of financial disclosure in Family Law:

Documents which are required to be provided in Family Law proceedings include but are not limited to:

1. Tax Returns and Notice of Assessments: Generally, the three most recent tax returns and assessments are required;
2. Payslips: Three most recent payslips;
3. Bank statements: Statements for all personal, joint and business accounts including those for mortgages, loans and credit card for a period from the date of separation to present;
4. Superannuation information: Superannuation statements for all accounts;
5. Redbook Valuations: This is a valuation of any vehicles jointly or solely in a person’s name;
6. Loan Documents: Whether held solely, or jointly in another person’s name;
7. Company and Trust Statements: Whether held solely, or jointly in another person’s name;
8. Company Tax Return: If you own jointly or solely a company, you are required to provide your company tax returns;
9. Any other documentation: Any other relevant documents that may assist in determining a party’s income, expenses, assets and financial resources.

Family Law proceedings are complex, but the importance of providing full and frank disclosure cannot be overstated. This case was a clear example of someone attempting to deceive the Court who then suffered severe legal consequences. A fair resolution of property and asset disputes can only be determined on accurate and complete information.

The law attempts to ensure fairness, which can only occur when all parties adhere to their legal obligations.

Conclusion: Coutts can help you

We understand the emotional, mental and financial strain the breakdown of a family unit has on an individual. Coutts Lawyers & Conveyancers boasts an experienced team of Family Law Lawyers including an Accredited Specialist, who approaches every matter with compassion, empathy and understanding. Coutts provides legal advice in all areas of family law including property settlements, divorce settlements, all types of parenting matters, preparing Binding Financial Agreements (also known as “Prenuptial Agreements” or “prenups”) and Binding Child Support Agreements. For more information on our Family Law services, please click the link.

Schedule an Appointment Now

ABOUT LUISA GAETANI:

Luisa is a distinguished Partner and Accredited Family Law Specialist at Coutts who proudly leads our esteemed Family Law team. Luisa started University in 2010 and commenced as a Paralegal and since her admission in 2014, Luisa has dedicated her practice exclusively to Family & Criminal Law, showcasing a deep commitment to providing comprehensive legal support.

Her unique blend of sensitivity and practicality sets Luisa apart, allowing her to forge a strong rapport and cultivate trust with her clients.