Revealing mistake: When we first see Oliver Reed, we see his shadow first on the wall at a ramp to the pub. As his shadow spreads its legs, we then see him spreading his legs a moment later. Shadow puppetry was used by the director to give the audience the impression that he is ominous and foreboding before we ever see the man himself. (00:54:10)

Oliver (1968)
1 revealing mistake
Directed by: Carol Reed
Starring: Harry Secombe, Mark Lester, Oliver Reed, Ron Moody, Shani Wallis
Other mistake: When Oliver is meeting Fagin and his boys, he says, "Is this a laundry then, sir?" You can see Jack Wild (Dodger) mouthing that line on the left side of the screen.
Bill: Hand it over, you avaricious old skeleton.
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Answer: If you mean the scene where he is teaching Oliver how to be a pickpocket, then yes, Fagin knew. He is role-playing the part of a "victim," showing Oliver what it is like to steal an item from someone's pocket without it being noticed. He is employing some criminal "positive reinforcement."
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