No it doesn't. They found evidence on his computer that strongly suggests there is child porn on the encrypted drive, there are witnesses that claim "John Doe" showed them child porn and he admitted to knowing the password initially, it was only later he claimed he forgot.

Prosecutors need sufficient evidence to obtain from a judge warrants, and in this case a decryption order, before they can hold you in contempt of court.

Of course, the evidence required for a warrant is still typically less than what is necessary to convict. The issue here is something to do with fifth amendment rights, which honestly I don't know a lot about because I'm Australian.