I think that this has got absolutely nothing to do with physics at all. The temperature of a domestic freezer is what, -10C, -15C. Polycarbonate (ie that which has the 0s and 1s etched onto it) cannot be affected at that temperature. If it could, we wouldn't make jet fighter canopies or use it other pretty demanding applications.
Therefore, it is extremely unlikely, bordering on the impossible, that any physical changes to the pits occurs and even if it did, it changing the physical size / shape of the pit can't change a bad data word into a good one. So that may rule out improved sonics through less error correction at the DAC.
Having just read Mr Belt's website and some of his more 'interesting' ideas to improve sound quality (blue piece of paper under a pot-plant or vase anyone?) leads me to think that he's on to something.
Personally, I don't doubt for a minute that some of you have heard an improvement in the quality of the CD after freezing but I do doubt that it can be attributed to anything miraculous happening to the signal path from the CD to the speaker. What I believe is going on here is the Subject-expectancy Effect at work ââ'¬â€œ a positive affect is experienced by the subject because they want it.
Given that appreciation of music and fidelity is all a bit subjective (show me an instrument that can measure beyond frequency spread and distortion) by changing the conditions around that subjectivity (ie ââ'¬Å"I want it to sound better after freezing this CDââ'¬Â) you probably do improve the sound but, most importantly, only to you. This is no bad thing ââ'¬â€œ a free sound upgrade whether a result of a physical change or a change in perception is still a free sound upgrade.