Start by shotgunning the upper open, then inserting a empty mag.
Does the empty mag follower under it own spring tension cause the bolt catch to fully raise. If the catch is just tight in the lower receiver, and the problem at hand, then work the catch with some lube to loose it up in the lower receiver slot.
If the problem is not a tight catch, but instead too much return spring pressure that the empty mag follower can not over come, then the catch will need to be pulled so the catch spring/detent channel can be cleaned up, and if needed, the return spring clipped a coil or two (or the channel correctly deepened) so the return spring tension is correct so the a good mag spring with follower can over ride it to get the catch up.
As for removing the catch pin bolt, If loctite is in involved, then best to get two .05 allen wrenchs. Use one to transfer heat to the set screw to break the loctite bond with a torch (torch on the allen wrench to transfer heat from it to the set screw to break the bond first), then the new allen wrench to remove the bolt since you just annealed the first Wrench with the torch when you where transferring heat with it.
Now back to the upper receiver and lower receiver combo. If the bolt catch is able to be pushed all the way up via the empty mag with the upper open and mag inserted into the well, and then with the upper locked back down you can not pull the charging handle back far enough for the face of the bolt to clear behind the bolt catch, the problems here is the wrong length buffer or buffer spring in play instead.
When pulling back on the charging handle, the face of the bolt should be able to be retracted to flush with the back of the ejection port on the LP receiver (non ejection port cover type receiver) to clean the bolt catch.
If this is the problem, then we need to know the receiver extension in play (telescoping or fixed stock type), as well as the length of the buffer and buffer spring.