GoFundMe refunds $400K donated in alleged homeless scam

MOUNT HOLLY, N.J. (AP) -- GoFundMe says it has refunded everyone who contributed to a campaign involving a homeless veteran from Philadelphia who prosecutors allege schemed with a New Jersey couple to scam donors out of more than $400,000.

GoFundMe spokesman Bobby Whithorne said Tuesday that "all donors who contributed to this GoFundMe campaign have been fully refunded" and the organization is cooperating fully with law enforcement.

Burlington County prosecutors allege in a criminal complaint that Johnny Bobbitt conspired with Katelyn McClure and her boyfriend at the time, Mark D'Amico, to concoct a feel-good story about Bobbitt giving McClure his last $20 when her car ran out of gas. They raised $400,000, which authorities say was spent on luxury items and casino trips.

Whithorne said campaigns involving misuse "make up less than one tenth of one percent" of all GoFundMe campaigns, but such behavior "is unacceptable" and "has consequences."

"We have a zero tolerance policy for fraudulent behavior," he said. "If fraud occurs, donors get refunded and we work with law enforcement officials to recover the money."

McClure has alleged through her lawyer that D'Amico duped her. His lawyer has denied the allegations. Prosecutors released texts from McClure including one sent right after the GoFundMe page was set up in which they allege she told a friend that the "gas part is completely made up."

Prosecutors began investigating last summer after Bobbitt said he wasn't getting money raised on his behalf. He later sued the couple.