Well, I just thought I'd post this since you haven't gotten anything else.
Fist of all, is there another drug this kid can take? I know there are a few different drugs for ADD that I've heard of (Ritalin and Adderall to name two). Maybe not all of them are time release and there is a different med he can take.
However, back to the question: My sister used to be the same way. Wouldn't take anything she had to swallow whole. Well, one day, she absolutely needed to take some kind of medication (I forget what) and my parents tried all the "nice ways" (applesauce, cutting it in half, etc.) Nothing worked.
So my parents finally had her put the pill in her mouth with some water, held her down on the couch, and held her nose until she swallowed the pill. The entire situation was very unpleasant but my parents only had to do that once or twice before she learned to take the pill herself.
That's probably a little drastic for most people's taste, but if you feel like the kid absolutely needs to take this medication for his health and nothing else is working....
::shrugs:: Occassionally there isn't a nice way to do things.
Also, to respond to the poster below, my sister's issue wasn't one of control. She had an irrational fear that the pill was going to get stuck in her throat and make her choke. Giving her all the control in the world wasn't going to change that fear. She just had to learn it wasn't going to happen. Maybe this boy's issue is one of control, but maybe it is like my sister where he has an irrational fear.