I spoke today with a Department of Defense Attorney (who is a Retired JAG Officer)

Here is the bottom line - you would only be persecuted if you were wearing an award to which you were not entitled.

It is not a crime to wear a medal to which you are entitled but that has not yet been added to your records.

Adding it to your records does not make you entitled. You are entitled to an award based on criteria set up by the issuing authority. In this case Congress.

The Issuing authority says you must have served a certain amount of time between certain dates, NOTHING in the LAW says you have to have it entered in your records or that you have to have it issued to you by any other authority.