Lying is a bad idea.
Example 1: {FX}xEthanoL (denied hacking until evidence presented itself, then finally admitted)
Example 2: STING (denied hacking, later admitted)
Telling the truth is the way to go.
Example 1: 0wn4g3 (confessed to hacking and ban evading, ban reduced)
But, if you’re innocent, maintain your innocence and don’t cave in.
Example 1: TYETOOCUTE (impersonated by hacker)