If you cannot find a way to enable the database password with TransferDatabase, you can create a table link as a new member of the collection DAO.TableDefs.
I confirmed that this code works in an Access 2007 ACCDR file.
Dim db As DAO.Database
Dim tdf As DAO.TableDef
Dim strConnect As String
Dim strDbFile As String
Dim strLinkName As String
Dim strPassword As String
Dim strSourceTableName As String
strDbFile = "C:\share\Access\PasswordEquals_foo.accdb"
strPassword = "foo"
strSourceTableName = "Contacts"
strLinkName = "link_to_contacts"
strConnect = "MS Access;PWD=" & strPassword & _
";DATABASE=" & strDbFile
Debug.Print strConnect
Set db = CurrentDb
Set tdf = db.CreateTableDef
tdf.Connect = strConnect
tdf.SourceTableName = strSourceTableName
tdf.Name = strLinkName
db.TableDefs.Append tdf
, ACCDR , link TableDef.Connect, . , "MS Access, PWD = foo; DATABASE = C:\share\Access\PasswordEquals_foo.accdb" Immediate.
Dim dbRemote As DAO.Database
Dim objWorkspace As Workspace
Set objWorkspace = CreateWorkspace("", "admin", "", dbUseJet)
Set dbRemote = objWorkspace.OpenDatabase("C:\share\Access\Database2.accdr")
Debug.Print dbRemote.TableDefs("link_to_contacts").Connect
dbRemote.Close
objWorkspace.Close
, db.