The incident occurred on Sunday evening, around 9 p.m., when the victim was sitting in his vehicle parked outside his home.
A man approached and scratched letters into the paint of the car, then fled when he realized someone was inside, police said, KSBW reported on Friday.
Police identified the suspect as Mikhail Faybyshev, 46, of Monterey, after speaking to witnesses who saw him leaving a neighbor's property.
Faybyshev confessed that he targeted the victim because of his religion, according to the police.
Faybyshev was arrested on charges of vandalism and committing a hate crime.
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The attack is one of many anti-Muslim incidents reported across the US in the wake of the war in Gaza.
According to the Council on American-Islamic Relations (CAIR), a Muslim civil rights organization, there has been an "unprecedented surge in bigotry" since the war began. Between October 7 and November 4, CAIR received 1,283 requests for help and complaints of anti-Muslim or anti-Arab bias, an increase of 216% over an average 29-day period last year. The incidents included hate crimes, harassment, discrimination, and threats, CAIR said.
Source: Agencies