GRAND RAPIDS, Mich. (WOOD) — David Jon Jenkins was just a few years out of high school when he founded his first company. Years later, he and his business were left with a trail of angry customer subcontractors and suppliers.
Jenkins, 23, and Grand Rapids-based Jenkins Estate Co. are named in 11 Kent County lawsuits. Then on Thursday morning, Jenkins went to the Leelanau County Jail north of Traverse City to be arraigned and make his first court appearance on criminal fraud charges.
Johannes Ploeg, who prosecuted the criminal complaint, said that despite his young age, Mr Jenkins was “perceived as a person full of energy” and was able to gain the trust of knowledgeable people. He said he has heard from six other people who hired Mr. Jenkins to build or renovate their homes that Mr. Jenkins ran out of cash and he could not get the job done.
“They're all professional people,” Ploeg, the attorney, said of Jenkins' other clients. “They're in an area they should know about. Same situation. They trusted him.”
“[Jenkins]likes to go after people who pay in cash, and there are no banks in between. Then he asks for a lot of money up front, just like we do, and then the sub No one gets paid,” Plog explained. Mr. Jenkins is also suing in federal court.
Ploeg and his wife hired Jenkins to build a nursing home overlooking Sutton's Bay near Traverse City. Ploeg said the first hint of trouble was an email from a wood supplier complaining of non-payment. The Ploegs claim they had already given Mr. Jenkins money to cover the costs. The problems continued.
“The framers stopped working on the house because they weren't paid,” Plog said. “So they left.”
Ploeg said Jenkins stopped work on the project because it didn't have a roof, doors or windows at that point. He believes that by that time he and his wife had paid Jenkins $800,000 for his $350,000 worth of work. The Plogs had to borrow money from family members to complete the house.
In their case, Jenkins is charged with fraud over $100,000 and contractor fraud.
It is a crime for a builder to use money advanced for a project on other things.
Jenkins also faces possible criminal charges in East Grand Rapids, where he lives. He left unfinished business and unpaid suppliers and subcontractors on a home addition several blocks from his home.
Homeowner Alex Zhong said he paid about 80% of the amount, but Jenkins had only completed 20% of the work by the time the subcontractors started complaining that they hadn't been paid. Told. They say they were after Mr. Jenkins for the money he had already given them.
If the builder runs away with the money, homeowners often face double payments because unpaid suppliers and subcontractors can place liens on the homeowner's property until they are paid. It turns out.
Zhong said she trusted Jenkins in part because he lived nearby and appeared to be part of the neighborhood.
“Why do you do something to your neighbor?'' Mr. Zhong wondered. “I never imagined that. That's why I paid him every time he showed me the bill.”
Despite filing a lawsuit, the Plogs wonder if they will ever get their money back. They worry that Jenkins has spent the money on an upscale lifestyle.
“He's a young man,” Plog said. “He owns a Porsche and a Tesla and has a house in East Grand Rapids. He likes luxury things like Rolex watches and travel.”
On Tuesday, Target 8 agents encountered Mr. Jenkins at the bank and tried to get his side of the story.
“Get some rest today,” was all he said before driving off in his Porsche.
His lawyer said Mr Jenkins would not make any comment and that everything would play out in court.
