X-Men: The 198 #3

Plot

Val and the X-Men try to solve the problems caused by having most of the mutants left on Earth cooped up into one small place and treated like prisoners. The rowdy ones that want to leave are told that they will be fitted with tracking chips and allowed short excursions into Salem Center. Unbeknownst to the X-Men, the tags also contain inhibitors to stop any mutants that decide to cause trouble (Mammomax causes trouble). Jazz accidentally finds Johnny Dee making miniature figures of the people he has touched. While scoring drugs in town, Jazz is killed by Johnny and the new chips are blamed.