If this had been a real dead body, chances are someone would have reacted and it would have been edited out of the film immediately.
Also, the Tin Man was poisoned by the aluminum in his make-up and ended up in hospital.
This supposed myth is complicated further by the multiple versions of the film that exist.
Likewise, the following video proves conclusively that the hanging munchkin was NOT in the original version of the scene.
In Classic Hollywood Myths we take a look at all the myths about the Golden Age of Hollywood.
In actuality, the movement is that of a large stork reacting to the dancing by rising up and unfolding its wings defensively.