Hello, this is your friendly neighbourhood Grammer Polise Cheif! Yes, that is an intentional exercise in irony.
Entity review:
Is 542 really an orange entity? Aren't those supposed to be dangerous? "capable of lethality but not guaranteed to display it." But it has not actually attacked or killed anyone? At the most I'd peg it as a beta-yellow entity due to sapience, but is otherwise appears to be largely harmless and easily contained.
Writing review:
"Despite not having any actual organs within its body that would allow for human vocalization, it does this regardless." - latter end is informal. Suggest rewording sentence to "Despite lacking organs within its body that would allow for human vocalization RPC-542 is anomalously capable of doing so."
"While not displaying any surprisingly anomalous properties initially, RPC-542 will begin to imitate the shape of an elderly human male in the presence of anyone in its immediate proximity." - Informal and redundant. Suggest rewording initial part to "While not displaying anomalous properties in this form", referring to its base cephalopod form.
"While initially defunct by police forces" - According to the dictionary, defunct means "Having ceased to exist or live". Did you mean debunked?
"During investigation of █████’s household, while RPC-542 was discovered," For grammatical tidying suggest to reword to "During investigation of █████’s household which led to the discovery of RPC-542,"