In this November 17, 2017, photo, Johnny Bobbitt Jr., left, Kate McClure, right, and McClure's boyfriend Mark D'Amico at the gas station in Philadelphia. Photo / AP
GoFundMe has promised to pay the full balance of the original US$400,000 that was raised for a homeless veteran who was allegedly defrauded by a New Jersey couple.
The crowdfunding site said it would make sure Johnny Bobbitt receives what is left of the sum he was promised after he helped a motorist stranded in Philadelphia by giving him her last remaining US$20 for gas so she could get home.
The inspirational story led thousands of people to donate to a crowdfunding campaign run by the motorist Kate McClure and her boyfriend Mark D'Amico.
But the couple is now accused of paying Bobbitt only a portion of the funds while using the rest on gambling and vacations, the Daily Mail reports.
"Johnny will be made whole, and we're committing that he'll get the balance of the funds that he has not yet received or benefited from," GoFundMe said in a statement.
"GoFundMe's goal has always been to ensure Johnny gets [the] support he deserves.
"We'll continue to assist with the ongoing law enforcement investigation."
GoFundMe made the announcement in a joint statement with a Philadelphia law firm representing Bobbitt, according to the Philadelphia Inquirer.
The company is also taking steps to allow donors who contributed to the campaign to get their money back.
Company policy states that donors have until 30 days of making their contribution to submit claims asking for a refund.
But since the campaign took place 10 months ago, GoFundMe is waiving this aspect of its policy so as to allow donors to Bobbitt to submit claims.
"This is an extremely rare situation, and we are working with law enforcement officials to get Johnny the money raised on his behalf, which means the 30-day policy does not apply in this case," a company spokesperson told the Inquirer.
Earlier on Thursday, D'Amico and McClure, the couple accused of defrauding Bobbitt, had their home raided by police who have opened a criminal investigation.
Bobbitt is now suing the couple, claiming they kept the money for themselves and have spent it on vacations and gambling.
Police today announced they are investigating the couple and executed a search warrant at their home in Florence, New Jersey.
Footage from 6abc shows officers removing a used black BMW the couple had bought earlier this year on a flatbed tow truck.
D'Amico smiled and played with his dog as officers took the car away. McClure was not home.
Investigators later left the couple's home with bags and boxes of material.
Burlington County Prosecutor Scott A Coffina said in a statement: "Due to the enormous public interest in this matter, I am confirming that a search warrant was executed early this morning by the Burlington County Prosecutor's Office and the Florence Township Police Department at the residence of Mark D'Amico and Katelyn McClure in connection with a criminal investigation into the Johnny Bobbitt matter.
"As of this time, there have been no charges filed. Further updates will be provided as circumstances warrant."
It comes less than a week after the couple went on national television to claim there was still "well over" US$150,000 of the raised money left.
They insisted that they have not spent the money on themselves and that they spent US$200,000 on care for Bobbitt. Whatever cash they did give him, they said he spent it on drugs.
After Bobbitt shared his story earlier this month, GoFundMe launched an investigation into the couple's handling of the fund.
It seemed Bobbitt had triumphed when a judge earlier this week ordered the couple to give him control of the account.
Now, Bobbitt and his lawyers have asked for a forensic accountant to examine the couple's records and determine if they misspent any of the money.
They met in November 2017 when McClure, a receptionist for the state Department of Transportation, ran out of gas in Philadelphia on her way home.
Bobbitt was sleeping in the street and he used his last US$20 to buy her gas and get her home safely.
She shared his good deed on social media and launched a GoFundMe page in the hope that strangers would return his kindness.
Within a month, McClure and D'Amico had raised US$400,000 for Bobbitt and he was excitedly planning a new life. There were promises of trusts and retirement accounts, a financial adviser and lawyers, but Bobbitt now says none of what the pair told him he would receive panned out as planned.
Instead of turning over the money to him, they maintained control of it and only once gave him a lump sum of cash.
Rather than buy him a house, they bought him a trailer, which was then kept on land owned by McClure's family. He did not get the pickup truck of his dreams, and instead was given a used SUV, which they have since sold.
McClure and D'Amico insist that he wanted the trailer and car, and that when he blew through US$25,000, allegedly on drugs, in just 13 days, they decided he could not be trusted with the rest of the money.
They say that an additional US$30,000-$40,000 was eaten up by GoFundMe's fees and that another US$135,000 were spent on lawyers, the trailer, an SUV, TVs, a laptop, a cell phone and a hotel where Bobbitt stayed when he first got off the street.
It is not clear what legal services were given before they fell into dispute.
During an interview with Megyn Kelly last week, the couple said they spent US$200,000 on him in total and that US$150,000 was still left.
In that interview, D'Amico said GoFundMe took US$50,000.
They insisted that they had done nothing wrong and had not spent a single dollar on themselves.
When asked for an exact figure of how much was left, they said they could not give one because the money was still being held in the account they used for themselves.
McClure became emotional as she described receiving death threats from people claiming they had misspent the money on trips and shopping sprees.
Since they met Bobbitt, they went on luxurious trips to Las Vegas and Los Angeles. They also got a new car but say they paid for it with their salaries.
Bobbitt is back living on the streets. He is taking drugs again. His attorneys agreed to work for him for free.
In his response to Bobbitt's claims earlier this month, D'Amico told The Philadelphia Inquirer: "Giving him all that money, it's never going to happen. I'll burn it in front of him."
In April, they took Bobbitt to New York City from New Jersey. They were pictured there together smiling happily for photographs.
D'Amico has been arrested on traffic violations and he has also frequented casinos, once dipping into the GoFundMe money to take US$500 which he claims he replaced afterwards.
In her final upload to the page, McClure said: "Hopefully this will answer them while keeping his privacy and the privacy of the people he is helping also.
"The first thing on the list is a NEW Home which Johnny will own!! He will never have to worry about a roof over his head again!! Second will be the dream truck he's always wanted... a 1999 ford ranger (yes I'm serious).
"There will also be 2 trusts set up in his name, one essentially giving him the ability to collect a small 'salary' each year and another retirement trust which will be wisely invested by a financial planner which he will have access to in a time frame he feels comfortable with so when the time comes he can live his retirement dream of owning a piece of land and a cabin in the country.
"A bank account will be set up for him with funds for every day needs that will get him through until he finds a job. And lastly, he will be donating to a few organizations and people who over the last couple of years have helped him get through this rough patch in his life.
"This is a well thought out plan that Johnny his lawyer and financial adviser came up with in order to give Johnny the means to acclimate back into a 'normal' life and also to protect him and ensure he has a bright future."
Bobbitt said he was never given a lawyer and met once with a financial adviser.
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