Penguin is known for his volatile bursts of violence, not his pokerface. He has learned how to make his emotions work for him in most cases, but he can only really hide intention in plain sight and force shifts of attention rather than play the longterm liar. He does paint with lies, of course, and he does cheat, does bait and switch if he needs to, but honesty is Oswald's palette of choice.

It means he can meet Tim's accusations with a smile and with a sharp cock of his head say, "Hard work, love of my city, and a clear conscious. Why, do you have aspirations for office some day?"

He makes a comical little eyeroll then, like he's conceding to something.

"And yes, okay, fine, it was only one mayor with his head in a box!" he lifts his forefinger when he says 'one' for emphasis, "But, honestly, Mayor James was a bit to a putz. If you ask me, the box was a vast improvement on his overall look!"