It was more like he ran around Vegas for two or three days, harassing women at the bars, causing disruptions, getting into it with security, and screaming about how he was a "UFC FIGHTER."
The UFC's spent a long time cleaning up it's image and this is the kind of thing they don't want happeneing out in the real world. Their fighers (or in this case potential fighters) going around and stirring up shit just because theyGranted fight for a living. Granted JT was drunk, but that isn't an excuse, we've seen several times this season that the dude is a headcase.
Smart move by Dana in my book.
Addition: And it's not like the door has been slammed shut for Jessie either. Dana clearly said that he will consider bringing him back when dude gets his mind right. He just isn't ready for the pressure of being a famous figure as of yet.