I'm no expert but that looks really bad to me. If the oil is 'milky' then it would suggest there is water in there too. Personally I would take it back to the dealer now with this evidence and not run it any more until they have had it inspected.
Flushing the engine might get rid of the mess but also the evidence if you need to make a claim. I don't think your engine will last that long judging by the pictures.
Sorry man