How Asset Tracing Works – A Step-by-Step Guide

October 1, 2023 - Reading time: 11 minutes
Updated on: September 4, 2025

Asset tracing is the process of identifying, tracking, and recovering assets that may have been hidden, moved, or misappropriated. At Private Investigators UK, our team is frequently instructed to trace assets in complex situations such as divorce, fraud investigations, bankruptcy cases, and debt recovery. This work often supports wider asset recovery strategies in the UK and internationally.

Whether someone is trying to hide money offshore or transfer property to avoid creditors, tracing these assets calls for a mix of financial analysis, investigative skill, and legal support. Here is how it works, step by step.

Step 1: Identifying the Assets

The first stage is to define the target. We build a picture of the subject’s financial footprint - bank accounts, business interests, property ownership, vehicles, luxury goods, investments, and cryptocurrency wallets.

We use public records and lawful sources such as Companies House, Land Registry, court filings, open source intelligence, and interviews. In corporate cases we also look for shell companies, nominee directors, and links to ultimate beneficial owners (UBOs). The aim is to map the assets, spot gaps, and flag red flags that point to hidden or transferred wealth.

Step 2: Securing the Assets

Once assets are identified, the priority is to secure value before it moves. Legal teams may seek a freezing injunction (also called a Mareva injunction) or a worldwide freezing order to stop dissipation. Timing matters - a short delay can give the subject room to shift funds or sell property.

Our role is to supply clear, court-ready evidence that supports these applications and to work with solicitors and counsel so orders are obtained and served correctly.

Step 3: Tracing Asset Movements

With the position stabilised, we follow the trail. Funds may pass through layers of companies, third parties, and accounts in other jurisdictions. We combine document review, data analysis, digital forensics, and manual cross checks to simplify the chain of ownership. The goal is a clear route to enforcement that stands up to scrutiny.

This stage often uncovers additional value - trusts, informal loans, or side agreements that disguise control.

Step 4: Recovery

Recovery depends on the assets and jurisdiction. Routes can include negotiated settlement, court enforcement, garnishee orders over bank funds, forced sale of property, charging orders over shares, or recognition and enforcement of a judgment abroad. Breach of a freezing order can lead to contempt of court, which is a serious matter.

Legal Tools and Orders Often Used

• Freezing injunctions and worldwide freezing orders (WFOs) to prevent dissipation.
• Norwich Pharmacal orders to compel third parties (such as banks or platforms) to disclose information that identifies wrongdoers or asset paths.
• Bankers Trust orders for confidential disclosure to trace and preserve misappropriated funds.
• Disclosure orders against companies, exchanges, and payment providers to obtain account data, KYC, or transaction records.
• Search and preservation orders where appropriate to secure records and devices.

These orders are applied for by solicitors through the courts. Our investigations provide the factual basis and evidence needed to support them.

Cryptoasset Tracing

We work on cryptocurrency tracing where funds have moved through exchanges or mixers. Blockchain analysis can link wallets to services and help tie activity to named users once platform data is disclosed. Recovery typically involves disclosure orders, freezing orders against known exchange accounts, and cooperation with platforms to restrict transfers.

International Asset Tracing

Hidden assets are often offshore. We coordinate with trusted contacts to access foreign records, interpret filings, and liaise with local lawyers so UK orders can be recognised or mirrored. Cross border enforcement of judgments is a specialist area and usually requires a local law firm; our role is to keep the evidence flow clear and complete.

When Is Asset Tracing Used?

• Divorce and family cases where one partner is suspected of concealing income or assets.
• Corporate disputes between owners or shareholders, including diversion of assets.
• Fraud investigations and embezzlement where funds have been misappropriated.
• Insolvency and bankruptcy where transfers were made before filing or to defeat creditors.

We also support solicitors in preparing applications for injunctions and disclosure orders.

Costs and Timelines

Time and cost vary with scope, jurisdictions, and how well the subject has hidden assets. A straightforward UK only matter can move quickly. Complex cross border cases with crypto, shell entities, and nominees take longer. Early scoping helps set a realistic plan and budget.

Need Help Tracing Assets?

If you are struggling to locate assets that you believe you are owed, get in touch with us. We can assess your case in confidence and advise on next steps - from early intelligence to full asset recovery.