KENOSHA, Wis. – A Kenosha man accused of defrauding clients through his now-defunct home contracting business made a court appearance Wednesday after a warrant was issued for his arrest earlier this month.

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Jerry G. Hamalainen, 31, appeared before Kenosha County Court Commissioner William Michel II and was given a $500 cash bail. A $5,000 warrant had been issued on June 6 after Hamalainen failed to appear for a scheduled court hearing related to one of his ongoing criminal cases.

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Hamalainen is charged in two separate cases involving allegations that he took thousands of dollars in down payments for construction work he never completed. Both cases stem from his business activities operating under the name GH All Purpose Properties LLC.

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In the more serious case, filed in January as a felony, Hamalainen is accused of theft by contractor involving more than $2,500. According to a criminal complaint, in October 2022 Hamalainen accepted a $4,000 check from a Pleasant Prairie landscaper who had subcontracted him to install a paver walkway at a residential property in Racine. Despite repeated assurances that he would show up to complete the job, Hamalainen never did. Over a year later, in October 2023, the contractor confronted Hamalainen about the unfulfilled work. Hamalainen admitted in both text messages and a voicemail that he had spent the $4,000 on legal expenses in a separate case and stated he could not issue a refund. He also said he was more focused on another case where a judge was considering suspending his ability to operate a business.

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The second case, filed in April, involves two misdemeanor charges of theft and theft by contractor for work in the City of Kenosha. A local real estate company, Durante and Rich Real Estate LLC, contracted Hamalainen in August 2022 to rebuild a deteriorating exterior staircase at a rental property on 53rd Street. The company paid Hamalainen a 50% deposit—$3,136—after he submitted a written quote. He began work shortly thereafter but never completed it. Investigators from the Wisconsin Department of Agriculture, Trade and Consumer Protection (DATCP) determined that Hamalainen had done less than 25% of the work over several months, despite promising to finish the job. He eventually stopped responding to the company’s communications.

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According to DATCP reports, Hamalainen’s bank records show he spent over $10,000 at various hardware and home improvement stores during the time he was contracted to perform the work, but he did not provide any receipts or documentation that the materials were used for the project. The real estate company later requested a refund but received no response. The state found that the payment was improperly used for purposes unrelated to the agreed-upon home improvement work.

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Both criminal cases cite violations of Wisconsin’s contractor fraud statutes, which prohibit the use of client funds for any purpose other than the agreed-upon labor and materials unless all claims from subcontractors and suppliers are fully paid.

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In addition to the criminal charges, court records show Hamalainen and his company have been the subject of at least three separate small claims lawsuits in Sheboygan and Kenosha counties, dating back to 2020. Plaintiffs in those cases also accused him of failing to complete work after receiving payments.

Hamalainen is scheduled to return to court for both criminal matters on August 6 before Judge Jason Rossell. The felony theft by contractor charge carries a maximum sentence of 3 years and 6 months in prison and a $10,000 fine. Each misdemeanor count carries up to 9 months in jail and a $10,000 fine.

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