Your reply seems to be the most sensible out of the lot. (Side note: I presumed there'd be a couple other ones that suggested it's open source--never mind that prior to the removal of some of the license text it wasn't "free as in beer" open. To be fair, I had forgotten myself that TrueCrypt wasn't exactly open source.)
Perhaps ownership does run deep, even if you've never really released a product for money and it's always been free. Still, it's something I don't understand: If I had a tool that I released for free and finally gave up on it, I'd like to think I'd open it up under an exceptionally liberal license or just dump it in the public domain. That'd be especially true if it had a lot of users.
That's what makes me think that if this isn't some elaborate scheme it's likely the result of some sort of legal requirement or action (e.g. Lavabit) which would preclude the author(s) from doing anything else with the software. It's a shame they couldn't take a scorched earth-esque approach of dumping everything in the public domain, including notes on why this was happening, everyone else be damned, but I'd imagine their entire career might be in jeopardy at that point (and possibly their freedom).