I'm running through three different scenarios in my head over squidyj's situation:
1. squidyj is telling the truth; he really is a cop aligned with the town. However, I have no idea why he would reveal this information so early, especially when the conversation over who to lynch has just started and no one was going for anyone. There was no need to "save himself" by revealing how much of an asset to the town he is so soon.
2. squidyj is a regular townie and is lying about his role. This would provide the most benefit to the town because it allows him to play as a sacrificial lamb to the Mafia and allow the special town roles to (likely) survive the night.
3. squidyj is Mafia. Him "revealing" that he is a cop is simply an attempt to throw us off the trail.
There are more possibilities (mostly dealing with Independents), but those are what I think to be the three likeliest ones. Thing is, only #2 would be beneficial to the town, and there is no guarantee that he will be targeted by the Mafia anyways.
Any thoughts?