Woman once praised for battle with illness revealed to have never been sick: Part 4

Gypsy Blanchard told "20/20" that the only thing that is wrong with her health is that she has a lazy eye.
3:00 | 01/06/18

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Transcript for Woman once praised for battle with illness revealed to have never been sick: Part 4
Reporter: Gypsy Blanchard is caught in a web of secrets and lies. Even her age is in dispute. My medical insurance has 23. Okay, so how old, actually, are you? 19. Me and my mother are hurricane Katrina survivors, and my birth certificate was washed away in Katrina and unfortunately they messed up the paperwork. Reporter: She's behind bars and charged with murdering her mother. 48-year-old Dee Dee Blanchard. Known to the community as a lovely caregiver for a sickly gypsy. How did you go from this to this? I only see as a fall from grace. I thought, back then, that I was a good person. And now I just see it as that was a fraud and I made a horrible mistake. Reporter: A horrible mistake, because it turns out that little pink house, on hope & volunteer way, was actually the nerve center from which the so-called doting mother perpetrated an elaborate scam. Preying on the sympathies of countless good samaritans. We have unearthed the appearance of a long financial fraud scheme, along with this tragic event. Reporter: Celebrities, charities, even cartoon characters, all conned. I was disappointed that I had been duped. And that's why I caution anyone not to put money into their accounts until we kind of figure out the extent of their deception. What medical conditions did you believe you suffered from? Leukemia, asthma, both vision and hearing impaired, muscular dystrophy and seizures. Did you always know you could walk if you wanted to? Yes. She told you, you had to stay in a wheelchair when you could walk? How did she convince you to do that? I was so young. So, me looking up to her so much and just believing she knows best. I didn't question it. Did you believe you were sick? There are certain illness that I knew I didn't have. I knew that I didn't need the feeding tube. I knew that I could eat and I knew that I could walk. But I did believe my mother when she said that I had leukemia. Tell me about Dee Dee. What kind of mom was she? Very protective. You think she protected you? No. Not in -- in certain ways yes, in other ways no. I think that she was very sick in her mind. For a long time I believe, like, we were like best friends, and when I was younger she was my best friend. She was your only friend. Yes, other than my stuffed animals. And so I thought that she was a great mother. No complaints, we got along so perfect. You know, I saw her as an angel that can do no wrong. Reporter: But as gypsy got older and became curious about life outside the little pink house, she says mom Dee Dee began exerting more control. What happens when she got upset with you? It would go into an argument that would last a couple days or it could be something where she wouldn't feed me for two days, or so. Was she ever physical with you? It started to be physical in 2011. She would hit me with a coat hanger sometimes. Did you ever fight back? No. Because I was too afraid to. Reporter: Gypsy says she did try and runaway once. But Dee Dee found her a few hours later. And, there were consequences. She physically chained you to the bed? She physically chained me to the bed. And put bells on the doors. And told anybody that I probably would've trusted that I was going through a phase. And to tell her if I was doing anything behind her back. Did you ever consider, in a public place, if you stood up out of your wheelchair and walked, Dee Dee's fraud would be completely exposed? I honestly didn't think about that. It never crossed your mind? No. So, instead of planning an elaborate escape, you planned a murder. Yes. Reporter: Public defender Mike Stanfield has the extremely daunting task of coming up with a legal defense for gypsy. The evidence against her keeps mounting. In my 10 years of practice, this case by far had the most discovery that I've ever had. Close to 100 cds worth of papers, photos, and digital information. Reporter: But it's a field trip, along side gypsy's dad and stepmom he says proves to be the most helpful. While the outside of gypsy house is pretty in pink, the inside a chaos of clutter. Frankly it was a disaster. There was stuff everywhere. I could tell Dee Dee did a lot of just, hoarding. Just stuff piled up. I mean like, chest high to the back of the room. One of the bedrooms had so many items piled into it that you couldn't even walk into it. Reporter: But amongst the photos the wall and the den of disorder, some clues. The thing that shocked me the most, the closet inside gypsy's house. I was like, holy Y'all need to get over here right now and look at this. I mean, my mouth dropped. From the top to the bottom, full of so many medications. Reporter: This isn't your ordinary medicine cabinet. It's Dee Dee's personal pharmacy. A large linen closest fully stocked. She had even written on several of the bottles of gypsy's medication as if she was writing it for a child. For the anti-seizure medication it would say, "Shaky baby." The organization of the medications that was shocking to me, because in every other area of Dee Dee's life, it appeared that she had absolutely no organization or cleanliness. Except when it came to these medications. It let me know from the very beginning that something here was seriously wrong. Reporter: Wrong because it turns out. Not only can gypsy walk, she says she's never been sick! Not cancer. Not epilepsy, not anything. The only thing that I have wrong with me is I have a little bit of a lazy eye. Not all the time, but I have better vision in this eye than I do that eye. That's it. That's it?

This transcript has been automatically generated and may not be 100% accurate.

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