The 31-year-old spinner, who was recently in news for getting arrested for drunken misbehaviour and urinating in public, had managed to keep his separation from his wife a secret and their divorce was finalised only recently.
Monty was dropped from the Ashes series as a result of poor form, which is now being linked to his personal turmoil.
"Monty was devastated by the breakdown of his marriage and is still coming to terms with his recent divorce. His personal struggles have been a direct result of that," The 'Sunday Mirror' quoted a source as saying.
Friends said he blamed his wife's family for making their marriage "increasingly difficult."
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Monty married Gursharan three years ago in a traditional Sikh ceremony. The Luton-born player had praised her for the "greater stability" she gave him during the early days of his successful England career.
Earlier this month, Monty was thrown out of Brighton's Shoosh Club after he reportedly hassled a group of women. He then urinated onto the doormen of the club before running off.
Monty, who is studying for a sports science master's degree, could face the sacking this week from his county team Sussex which has been investigating the incident. But his former club Northamptonshire could offer him a lifeline to rebuild his shattered career.