First, there isn't enough information to know what it is this person has (or has not) done. Secondly, the fifth amendment of the US Constitution allows you to refuse to provide testimony which you feel may incriminate you. Generally encryption pass phrases do not count as testimony, the legal system treats them as keys. And that would be covered under the fourth amendment which says the government cannot compel to yo…
What if your passphrase to your truecrypt container (let's say it contains, for the purpose of this thought experiment, child pornography) is the true statement: "I am [for this thought experiment] a child pornography collector." Wouldn't it be a violation of the 5th amendment to be compelled to provide that passphrase, because it is an admission against interest and therefore would be admissible if you disclosed it?…
You do have the right to remain silent, however. That might be a stronger defense.