(CNN) -- A former project manager and his wife have been accused of funneling nearly $2 million from Vassar College in New York, police seizing BMWs, Rolex watches, unregistered firearms and fraudulent law enforcement identifications from the couple's home, according to a statement by police.
Arthur Fisher, 44, and Jennifer Fisher, 38, were arrested on charges of grand larceny after detectives traced $1.9 million in missing Vassar College construction financing to a bank account set up by the couple, according to a statement by the Poughkeepsie Police Department.
Following a search warrant on the couple's Ossining, New York, home, police seized four BMWs, one Ford F150 truck and three Rolex watches on April 1, together valued at about $550,000. Police also seized 10 unregistered handguns, a .223-caliber military-style rifle and many fraudulent badges and identification cards, including FEMA (Federal Emergency Management Agency), U.S. Customs, FBI and the New York Police Department, displaying Arthur Fisher's name and photograph, according to the police statement.
Vassar College, a liberal arts school of about 2,450 students in the Hudson Valley area, first contacted police on March 10 after discovering the financial irregularities in construction business records, the police statement said.
"We are taking all available steps to recover the funds and are optimistic that we will," said an e-mail Vassar President Catharine Hill sent to Vassar alumni.
According to Hill's e-mail, Arthur Fisher worked for the school as a construction project manager from 2005 to 2010.
A call to Vassar College for comment was not immediately returned.
External counsel and a forensic accounting firm have since been hired by the school to investigate the funding to understand "what happened, how it happened, and how we can keep it from happening again," Hill wrote.
Arthur Fisher is currently being held on bond awaiting trial while Jennifer Fisher has been released on $100,000 bond, according to Capt. Ron Spero of the Poughkeepsie Police Department.
A call to Jennifer Fisher and Fisher's attorney for comment was not immediately returned.