SEC Inspector General David Kotz Resigns Effective 1/31/12

For those of you who have followed Mr. Kotz's rather colorful career over the past few years, here is an announcement that should come a little surprise to his observers.  Without calling all of his career choices into question, the dominant questions are is he leaving because he wasn't aggressive enough in his whitewashes of the SEC's professional behavior, such as on the Madoff matter, or is it because he smells nothing but more trouble ahead.  I doubt anyone in his position could adequately discharge the duties of a good IG for an organization as tainted as the SEC.  If there is one surprise, it is how long he put up with Schapiro's machinations.