The letter is 14 years old and I don't necessarily expect that the wts holds that legal position anymore. Clergy privileges generally have grown narrower and narrower.
Not sure about crimes such as murder (and I guess I should find out) but as a therapist it is complete law that I must report any knowledge of suspected child abuse (same goes for teachers, doctors etc and doctors used to have similar client privileges as clergy). However, that hasn't always been so in the not so distant past.
Do we have a lawyer in the house? Because as far as I understand the law has grown and changed and as a result so have the churches etc had to change. The way the law works though is that it can't make a ruling until situations, exactly as the one in the letter, are brought to the court. But once the precedent is set then it works backwards and then the church/org/persons in authority have to change in accordance.
Of course, I think what most people here are reacting to is the ethics and morality and hypocritical attitude of the whole jw culture - but I bet my arse the wts is up-to-date on whatever the legal requirements are these days. Funny - took me so long to realise that the wts actually do fear men more than Jehovah!