NEW YORK — Monday's worldwide stock selloff was reportedly triggered after J.P. Morgan Chase announced that recent hire Raymond Odierno was let go, citing hundreds of complaints and multiple FTC investigations into the general's high-pressure sales tactics, cold-calling, and down-playing of high-risk investments while executing his new role as financial adviser.
Odierno, who accepted a position with the company in August after retiring from the Army, was allegedly hawking financial vehicles he claimed offered "little to no risk" for casual investors. However, as an unnamed source close to the investigation said, Odierno's recommendations proved to be the opposite.
"Odierno's investors were all trading sub-prime mortgage futures via margin accounts opened through an offshore, unregulated shell company that has only weak connection to J.P. Morgan Chase," said the source. "We also obtained a prospectus for the 'F-35 Freedom Fund' — a mutual fund we found he sold to senior Pentagon functionaries and cost the government hundreds of billions of dollars."
While it is a setback for Odierno, executives at J.P. Morgan Chase view the shake-up as a "bump in the road" for the former 38th Chief of Staff of the Army. According to J.P. Morgan Chase CEO Jamie Dimon, what made Odierno stand out from other applicants on Monster.com — other than his veteran status and high level contacts in the political and financial arenas — was his "aggressive, 'never give up' personality."
