Ex-CIA Official Admits to Major Government Fraud Scheme
(MENAFN) A former CIA official pleaded guilty Tuesday to wire fraud after allegedly using fabricated classified programs to obtain nearly $200 million in government funds for real estate and gold purchases in Florida, according to reports.
David Rush entered his guilty plea in a federal court in Virginia and could receive a prison sentence of up to 20 years.
Under the terms of his plea agreement, Rush is required to forfeit at least $194 million in assets. The property identified in the case includes four Florida residences, 298 gold bars, 35 high-end watches and two BMW vehicles.
Court filings indicate that Rush allegedly invoked supposed classified government operations to approve expenditures, instruct contractors and obtain control over assets purchased through the scheme.
Prosecutors said the real estate and gold transactions were connected to the same fraud operation, even though they involved separate intermediaries and different financial arrangements.
Approximately $145 million was transferred through companies to acquire properties in Palm Beach and Hobe Sound, Florida. According to court filings, Rush planned to later sell the properties for a profit.
The scheme also involved gold purchases. Rush allegedly told contractors that a highly classified project required valuable commodities to be delivered to unidentified recipients. A contractor subsequently transferred $45 million to a holding company in January, a transaction that prosecutors identified as the basis for the wire fraud charge.
David Rush entered his guilty plea in a federal court in Virginia and could receive a prison sentence of up to 20 years.
Under the terms of his plea agreement, Rush is required to forfeit at least $194 million in assets. The property identified in the case includes four Florida residences, 298 gold bars, 35 high-end watches and two BMW vehicles.
Court filings indicate that Rush allegedly invoked supposed classified government operations to approve expenditures, instruct contractors and obtain control over assets purchased through the scheme.
Prosecutors said the real estate and gold transactions were connected to the same fraud operation, even though they involved separate intermediaries and different financial arrangements.
Approximately $145 million was transferred through companies to acquire properties in Palm Beach and Hobe Sound, Florida. According to court filings, Rush planned to later sell the properties for a profit.
The scheme also involved gold purchases. Rush allegedly told contractors that a highly classified project required valuable commodities to be delivered to unidentified recipients. A contractor subsequently transferred $45 million to a holding company in January, a transaction that prosecutors identified as the basis for the wire fraud charge.
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