I am late reacting so I will keep it brief. Given the magnitude and duration of the Madoff fraud, the SEC has to be culpable of gross misfeasance. They had plenty of reason to investigate and they didn't. If this were China, Christopher Cox would be executed or sent to a very unpleasant faraway jail for a very long time. If this were Japan, he would have resigned and, if a man of honor, might have eviscerated himself to set things right. But this is the United States at the end of a long bull run, so Cox just goes on television to announce that he is "terribly disappointed." Hey thanks, Chris, that should be fine.
See NY Times on Cox/Madoff