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Please tell me:
1) Is the business incorporated?2) Do you have a partnership agreement between the two of you in writing?
This is not an answer, but an information request. I need this information to answer your question. Please reply, so I can answer your question. Thank you in advance.
1) If the operational duties allow him to do this, then he can. If they do not, then he cannot and doing so can give rise to a civil action for breach of fiduciary duty amongst partners (see HERE), negligence, and fraud.
2) If he is doing so specifically to steal money, he can be liable for state version of embezzlement - a criminal matter.
3) Finally, by playing around so freely and transferring money back and forth between the LLC and personal accounts without a formal system, he risks eroding the legal protection afforded by the LLC - see HERE.
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