Neither of them are killed, but Carlini winds up in the hospital, catatonic except for his endless laughter. "The light's on, but no one's home!", as somebody exclaims. This was one of the things that the animated Batman did really well - they couldn't show Joker's usual Joker Venom on a show that kids were watching, so they substituted something that is arguably ten times creepier. You're not killed, oh no - you just wind up laughing uncontrollably until your mind snaps. Remember the scene in the hospital with the Councilman guy in 'Mask of the Phantasm'? Scary damn stuff.