A Monmouth Beach man, former owner of a residential construction company, has been sentenced to two years’ probation after he pleaded guilty to stealing thousands of dollars from a client who had hired him to build a single-family home in Ocean Township, Acting Monmouth County Prosecutor Raymond S. Santiago announced on Thursday.
Mihkel Grunbaum, 49, was sentenced on Friday, Nov. 4. Along with two years’ probation, Grunbaum was also ordered to immediately pay $65,000 in restitution to the victim.
Grunbaum pleaded guilty on Feb. 25 to third-degree theft of movable property following an investigation by detectives from the Monmouth County Prosecutor’s Office.
The investigation revealed that Grunbaum, owner of his former business, Shore GC Group, L.L.C., entered into a contract with the victim in January 2018.
The contract specified that he was to build a single-family home on a piece of property the victim owned in Ocean Township. The contract required that progress payments made to Grunbaum were only to be used in connection with the victim’s project.
Grunbaum, however, used $65,000 for personal expenses and payments for other projects, while abandoning the victim’s construction site.
After the victim terminated the contract and hired another builder, Grunbaum refused to refund the victim’s money. The victim reported the theft to the Monmouth County Prosecutor’s Office, and an investigation ensued.
A review of the defendant’s bank records and interviews with subcontractors and suppliers revealed that the victim’s money was never used for its intended purpose, namely the construction of the victim’s home, but was instead diverted by the defendant for his own gain.
— Edited press release from the Monmouth County Prosecutor’s Office