A garden gnome upside down in a wood chipper, with a teddy bear watching.

Rumble in the Bronx style, take him home in two black trash bags

how about a plank going off the hoover dam with a gnome blindfolded and wrapped up on the end and lots of teddy bear's with scrap swords forcing him off pirate style

Maybe some kind of scripted event where you walk outside and a gnome impacts the ground a few feet in front of you, like what they did with that mage in Morrowind. You look up and you see a teddy bear peeking over the top of the roof.