From the Super Mario Wiki, the Mario encyclopedia
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The Stool Pigeon is a Tweeter who resides on the streets of Crime Land. Being an actual stool pigeon, he has insider information on all the crimes that are going on in the city. The Stool Pigeon only ever appears during the events of The Super Mario Bros. Super Show! episode "The Unzappables".
Overhearing that Mario is in search of a stool pigeon, the Stool Pigeon attracts his attention, and offers to tell him about the next big robbery that Al Koopone is going to commit, for a price. Toad offers the Stool Pigeon a bag of chicken feed. While less than thrilled, the Stool Pigeon accepts the offer on account of being a bird, and tells Mario's group that Al Koopone is going to rob the First Mushroom Bank, which turns out to be true.