Found this cheap case at Circuit City. It is for the 1st gen Touch, but my second gen first perfect. The holes match up perfectly, and the left side is exposed when flipped open so you can access volume controls. Not the absolute best quality leather, but it works as a storage case so I can carry it with me to work/school without scratching it. Nice soft lining and doesn't scratch my pod. I am happy with it, especially as a temporary solution for $9.99! 
Verge Leather Case for iPod touch - Black
http://www.circuitcity.com/ssm/Verg...09230/catOid/-17581/rpem/ccd/productDetail.do
Verge Leather Case for iPod touch - Black
http://www.circuitcity.com/ssm/Verg...09230/catOid/-17581/rpem/ccd/productDetail.do