Arduino clone woks only with USB - NOT with external power
It sounds like there's some form of short, or the AM1117 regulator is dead. Too much current being drawn by the regulator (as it gets so hot) has caused the diode to blow.

You will need to replace both the regulator and the diode and hope it works - or use a separate external regulator into the 5V pin instead.

Personally, I'd use a switch-mode regulator (UBEC regulators are cheap and easy to get hold of) since it is far more efficient than the LM1117.