The Citadel of Chaos

You take a couple of sips. Not bad!
You take a mouthful but as you do so, you wonder why the Elf is chuckling.
Suddenly he asks whether you really are a guest.
Although your mind is confirming that you are indeed a visitor,
your voice is telling him that you are not;
you have come to put an end to Balthus Dire's plans of conquest!
You curse as you realize that the wine must be spiked with a Truth Serum.
The Black Elf now knows of your mission and must be prevented from telling others.
You draw your sword and, as you do so,
he pulls a small metallic device from the pouch tied around his waist.
With a touch, it turns into a saw-edged weapon.