There should be a bolt holding the crank pulley on. I'm not sure how it hasn't come off yet.
I just assumed the OP had removed it but, if not, deff need to get that replaced!
From the pics, it looks like you most assuredly have a bad crankshaft seal. Until you get that replaced, check your oil level often. I also see some deterioration in the harmonic balancer's rubber. If it looks like it's giving up the ghost, a new balancer (while you're there) would also be in order.
As for the grinding noise...does it occur when the Jeep is not moving (but the steering still in the position where the noise occurs) or is it only when it's rolling? If it does it when stationary, it's very likely it is the steering pump. If it only happens while moving, there is probably something in the suspension, steering linkages, brakes, etc. causing the noise.
EDIT: Also, if you would put in some info about your TJ on your profile (year, type (SE, X, Sport, etc.), engine size (yep, we see it's a 4.0 in the pics), etc., it can help the gang narrow down possible causes for issues.