David J. Rush admitted using a senior government position and fabricated federal authorities to siphon nearly $194 million, much of it spent on gold, real estate, watches and luxury vehicles.

ASHBURN, Va. — A former federal employee with a top-secret security clearance pleaded guilty Tuesday to orchestrating a massive fraud scheme that cost the U.S. government approximately $194 million and funded purchases of 298 gold bars, luxury properties, watches and vehicles.

David J. Rush, 49, of Ashburn, admitted using his senior executive-level government position to create fictitious authorities, including what prosecutors described as a fabricated Special Access Program, to obtain federal money for his personal use.

According to the U.S. Department of Justice, Rush fraudulently obtained approximately $193.6 million.

Prosecutors Say Rush Lied His Way Into Senior Position

Court documents say Rush held a Top Secret/Sensitive Compartmented Information security clearance and reached his senior position in part by lying about his education and military background.

He then used that access and authority to create fake government mechanisms that allowed him to obtain federal funds, prosecutors said.

Once he controlled the money, Rush purchased gold and directed roughly $145 million through wire transfers used to acquire luxury real estate, watches and at least one vehicle.

“Federal employees are entrusted with serving the American people, not themselves,” Attorney General Todd Blanche said. “The Trump Administration is committed to rooting out waste, fraud, and abuse in the federal government.”

FBI Finds 298 Gold Bars and More Than $2 Million in Cash

The scale of the scheme became evident when the FBI searched Rush’s residence May 19.

Agents recovered 298 gold bars that prosecutors said cost the government approximately $46 million.

They also seized about $2.1 million in cash, €104,795 and numerous luxury watches.

Assistant Attorney General for National Security John A. Eisenberg said Rush stole approximately $194 million through purchases that included real estate, jewelry and other high-value property.

“He defrauded the United States out of approximately $194 million in real estate, jewelry, and other valuable property, including 298 gold bars,” Eisenberg said.

Luxury Properties, Rolexes and BMWs to Be Forfeited

Under his plea agreement, Rush agreed to forfeit the gold bars and currency recovered from his home.

He will also surrender fraudulently obtained properties, 30 watches — many of them Rolexes — and two 2026 BMW Alpina vehicles.

Prosecutors said at least one of the BMWs is worth approximately $172,000.

FBI Director Kash Patel said Rush used his government position for extravagant personal spending.

“Rush betrayed his oath, his co-workers, and the American people and he will now face justice for his actions,” Patel said.

CIA Says Internal Investigation Triggered Referral

The CIA said its own internal investigation first identified potential criminal activity and the matter was immediately referred to the FBI.

“David Rush abused his position and betrayed the public trust and should be held fully accountable for his actions,” CIA Director John Ratcliffe said.

The Justice Department described Rush as an employee of a federal agency but did not identify his exact former position in the announcement.

First Assistant U.S. Attorney Theophani K. Stamos for the Eastern District of Virginia said Rush had been entrusted with government resources intended to protect the country.

“He robbed his country, not just of its treasury, but also of its faith,” Stamos said.

Rush Faces Up to 20 Years in Prison

Rush is scheduled to be sentenced Jan. 28, 2027.

He faces a maximum of 20 years in federal prison, along with three years of supervised release, restitution, forfeiture and a fine.

A federal judge will determine the sentence after considering federal sentencing guidelines and other statutory factors.

The Justice Department said the investigation remains active. The Director of National Intelligence has also requested an investigation by the Intelligence Community Inspector General.