Oliver remains in Fagin's room for many days, picking the marks out of handkerchiefs and sometimes entering into the curious game of extracting objects from the old man's pockets. When the other boys return empty-handed, they may be denied supper or rewarded with blows. The naive Oliver interprets these actions of Fagin as motivated by a worthy respect for diligence.
Oliver chafes under restriction and is granted permission to go out with the Dodger and Bates. At first he is puzzled by their erratic behavior, but at the sight of a gentleman absorbed in reading in front of a book stall, they swiftly go into concerted action. The Dodger steals the man's handkerchief, hands it to Bates, and the pair run off. In a flash of revelation, Oliver understands all he has witnessed since arriving in London. Frightened and bewildered, he too begins running.
Just as he misses his handkerchief, the gentleman at the bookstall sees Oliver fleeing and concludes that the boy is the thief. The old gentleman shouts, "Stop thief!" The Dodger and Bates unscrupulously repeat the alarm and run after Oliver. The hue and cry spreads rapidly, and a crowd chases the hapless object of it.
As his strength fails, Oliver is brought down by a blow from one of the pursuing mob. He is taken into custody by a policeman and hustled off, accompanied by his supposed victim, who seems kindly disposed toward the prisoner. The Dodger and Bates have disappeared.
