Instead of distress codes, why not a second set of accounts? There's the set of accounts you use publicly and then there's the set you do private things with you don't want the State to know about.

You could set that up with a VM on a TrueCrypt disk (with the hidden partition) and then you'd likely be fine. Heck, set it up with a plain disk and mix it in with a bunch of development VMs that you might use for testing or releasing code. I know that's dev or ops specific, but for those of us who are that, there's definite scope to present them with so many targets they'll get bored/overwhelmed looking.