The 1940 film "The Thief of Bagdad" is an Arabian Nights fantasy film based on stories from the "One Thousand and One Nights." A dog who can detect false coins appears in the film. The story is set in Baghdad and Basra, two cities now located in modern Iraq. The film uses "Bagdad", an alternate spelling of the city of Baghdad. The prince in the story is identified as being a grandson of Harun al-Rashid, the real sultan of the Abbasid Empire (AD 786-809) which would set the story in the period AD 800 to 900. Harun al-Rashid was the king or sultan of the "Arabian Nights." Prince Ahmad, the sultan of Baghdad, is tricked into prison by his Jaffar, his Grand Vizier or chief minister, who is also a magician or sorcerer. There he meets Abu, a boy thief, the two escape and encounter many adventures until they can remove Jaffar and restore Ahmad to his throne. Along the way Ahmad meets and falls in love with a beautiful princess and Abu releases a genie and steals a temple jewel. Early in the film, Ahmad, blinded by Jaffar's magic, is a beggar in Baghdad's market. He is accompanied by a dog who barks when a merchant gives him a "bad" or counterfeit coin. The merchant is surprised that a dog can tell a good coin from a bad coin.

In the Baghdad market a blind beggar accompanied by a dog is asking for alms.

A merchant puts a coin in the beggar's bowl and the dog barks.

The merchant exclaims "What? Your cur would bark? A fine reward for charity." The beggar replies: "If charity be false as that coin then you cheat."

The merchant asks if the dog can tell a bad coin from a good coin and the beggar invites him to test the dog. The merchant drops a bunch of coins in front of the dog who signals one coin which the merchant picks up and bites it. Biting a coin was an old method of testing gold coins but the coin here appears to be copper. The merchant senses that the coin isn't "right" and looks at it, exclaiming "It is a false coin!."

The merchant then exclaims that "This is no dog, but the reincarnation of a tax collector." A procession sent by Jaffar appears.

A woman in a coach invites the beggar to come to the palace which he accepts. He is taken to the harem where he tells his story.

The beggar was once:

A coin of Harun al-Rashid:

Gold, 19 mm, 4.02 gm
Harun al-Rashid AD 786-809 Mint: Baghdad (Madinat Al Salam, no mint mark)

As Ahmad tells his story the scene shifts back to when Ahmad was the king of Baghdad.

Jaffar, Ahmad's Grand Vizier, is actually running the country as a dictator, and, using a trick, has Ahmed arrested and thrown into a dungeon. Ahmed meets Abu who is a boy who has been arrested for stealing and both are sentenced to be executed in the morning. Abu manages to steal a jailer's key and free both who then steal a boat and head to Basra. The sultan of Basra is an old man whose daughter is a famously beautiful princess who no man is allowed to look at.

Both secretly watch the princess riding an elephant and Ahmad is lovestruck. He climbs a wall into the palace, meets the princess, and both instantly fall in love.

Jaffar, now the sultan of Baghdad, is visiting Basra. The sultan of Basra has a collection of toys and Jaffar gives him a mechanical horse. The sultan asks Jaffar if he wants anything and Jaffar replies that he would like to marry the princess. Jaffar describes her and when asked by the sultan how he knows what she looks like, he tells the sultan that he has watched her many times in his "crystal." The princess learns of the marriage plans and runs away to stay with her sister in Samarkand. Ahmad and Abu turn up in the palace, are captured, and Jaffar, using his magical arts, blinds Ahmad and turns Abu into a dog. The princess is captured and brought back to the palace where she falls into a deep sleep. Ahmad's story ends here; he is taken to the bed of the princess and embraces her, waking her up.

Jaffar takes the princess to a ship, while on board he tells her that by embracing him, the spell on Ahmad will be broken and that he will see again. She does and at the market, Ahmad recovers his sight and Abu is a boy again. Ahmad and Abu take a boat to pursue Jaffar but Jaffar conjures a storm which wrecks their boat. Jaffar and the princess return to Basra and she begs her father not to force her to marry him. Jaffar has another gift for the sultan, the "Silver Maid."

Jaffar tells the sultan that "Her embrace will thrill you as no other woman ever has or ever will."

Abu washes up on a shore and finds a large bottle.

He uncorks the bottle, not always a good idea in these stories, and a huge genie or Djinn apppears.

The Djinn then tells Abu what he plans to do.

Abu asks him:

And the Djinn replies:

Abu then tricks the Djinn into reentering the bottle. The Djinn then promises Abu three wishes if he lets him out. Abu asks him to take him to Ahmad but the Djinn tells him that to locate Ahmad he must steal the All-Seeing Eye to find him. The Djinn offers to take Abu to the location of the Eye in a temple far away.

The Djinn drops Abu off at the temple door.

There are green people living in the temple and they "direct" Abu into the web of a giant spider.

Abu kills the spider and then climbs the statue to the Eye.

The All-Seeing Eye is well known in occult lore as evidenced by this popular coin:

Bronze, 32 mm, 11.85 gm
Obverse:
"Swami" or fortune teller wearing turban and gazing into crystal ball.
Swastika appears on crystal ball.
GOOD LUCK WILL ACCOMPANY THE BEARER
Reverse:
Good luck symbols
Swastika, Heart-Key-Lock, Four-Leaf Clover, Elephant, Horseshoe, Rabbit's Foot, Wishbone
All-Seeing Eye below
THE ALL SEEING EYE / GUARDS YOU FROM EVIL

Abu and Ahmad look into the Eye.

Jaffar is watching the princess approach the "Blue Rose of Forgetfulness."

Abu and Ahmad argue and Abu wishes him to Baghdad which the Djinn accomplishes. The third wish completed, the Djinn flies off. Abu throws the Eye down a cliff where it explodes and sends Abu to the "Land of Legend." There the king gives Abu a magical crossbow.

The king also mentions a magical flying carpet which Abu "steals."

Abu arrives in Baghdad where Jaffar, having given up on the princess, is staging a public execution of Ahmad. Abu rescues Ahmad from the executioner and they fly to the palace.

Jaffar sees them coming and decides to leave.

Abu uses his crossbow to shoot and kill Jaffar, leaving Ahmad the rightful king.

Prince Ahmad announces that he is going to send Abu to school with the predictable result.

Sabu as Abu
John Justin as Ahmad
Conrad Veidt as Jaffar
Rex Ingram as the Djinn
June Duprez as the Princess
Miles Malleson as the Sultan of Basra
Directors: Ludwig Berger, Michael Powell, Tim Whelan
Writers: Miles Malleson, Lajos Biro, Miklos Rozsa