What illegal activity involves mixing the owner's funds with personal funds?

Commingling refers specifically to the illegal practice of mixing the funds of an owner—such as a landlord or property owner—with personal funds or operating funds of a property manager. This action undermines the financial integrity of property management practices and violates legal and ethical standards set forth for managing client funds.

In property management, it is essential to maintain clear and separate accounting for owner funds and personal finances to ensure proper financial reporting and fiduciary responsibility. Commingling can lead to complications in fund tracking, lack of accountability, and potential legal repercussions for the property manager.

While other terms like fraudulent activity, embezzlement, and misappropriation involve aspects of wrongful conduct regarding funds, they do not specifically capture the act of mixing owner funds with personal ones as precisely as commingling does. Commingling specifically highlights the concern of maintaining clear boundaries between different types of funds, which is a critical practice in property management.