Man who hid assets from ex could face jail

A man who hid hundreds of thousands of dollars in assets from his ex could face jail time if he doesn’t comply with a court order released Tuesday.

If Gerald Murphy defies court orders in the case, “arguably he could be incarcerated for subverting justice,” said Justice Moira Legere Sers of the family division of the Nova Scotia Supreme Court.

She presided over the recent case brought by Donna Murphy against Gerald Murphy, who the judge said hid assets worth over $400,000, of which he owes her half.

Sers ruled that Gerald Murphy pay his ex $218,368 — $191,398 for equal division of assets plus $26,970 for court costs.

“By his own admission, Mr. Murphy diverted matrimonial assets to avoid payment to Ms. Murphy,” Sers said.

The judge said his conduct after the two separated showed a “deliberate and systematic plan” to dissolve the couple’s joint assets for his own use.

“It becomes remarkably clear as the evidence unfolded, that Mr. Murphy had access to his share of the matrimonial property and to Ms. Murphy’s share,” Sers said.

“This access allowed him to travel, purchase assets and maintain a lifestyle that would ultimately crumble between 2015 and 2018.”

Sers acknowledged that Donna Murphy will only be partially compensated since no information exists to confirm where all of the money went.

This comes after Gerald Murphy made changes to prepaid funeral arrangements — like voiding his ex-wife’s cremation services — and drained funds from their joint business bank account for GVM Holdings, a company he controlled. He had used the now-lapsed holding company up until 2006 when, at the age of 46, he sold his business, Cable One Communications, to Eastlink.

The judge said he also loaned money to businesses across Canada.

Sers found no evidence showing if or when these mortgages will be paid back, but awarded rights for these and all other business matters to Donna Murphy.

“( Gerald’s) conduct constitutes a flagrant disregard for due process and the court order. His actions not only significantly prejudiced (Donna), they demonstrated a callous disregard for the law,” she said in her decision.

Donna Murphy began contempt proceedings in August 2015 to enforce her receipt of spousal support as agreed upon during the couple’s divorce proceedings.

The pair had lived together since the 1980s and married in 2001. They separated in 2013 and have no children together.

Gerald Murphy must now transfer the remaining pre- and post- matrimonial assets to Donna Murphy, as per Sers’ ruling.