Guru Nanak Dev ji traveled to many places, including Saidpur, now known as Eminabad. Before Guru ji arrived at Saidpur the word has spread in the whole city that a holy man is going to visit their town. Malik Bhago was the chief of the town. He was a corrupt person and had amassed wealth through unfair means. He would charge extra tax to the poor farmers and would take most of their crop, leaving them hungry. In this way he had become a wealthy person. When Malik heard the news of Gurus arrival, he started preparing for Guru’s stay at his home.
When Guru Nanak reached Saidpur, he knocked on the door of a poor carpenter named Lalo. Guru ji chose to stay with Lalo for sometime as a guest. Lalo would serve him with the little food that he had and Guru ji would eat the simple food with love. News reached Malik Bhago that Guru ji was staying with Lalo. Malik held a big gathering and invited all the holy men including Guru ji. Guru ji, however, did not accept his invitation.
Malik became angry that Guru Nanak Dev ji had refused his proposal and ordered to force the Guru to visit his place. Two guards were sent to Lalo’s home to escort the Guru and Guru Nanak ji decided to go with them. Upon reaching Malik’s place, Malik Bhago said, “O holy man, I have prepared so many dishes for you, but you are staying with a poor carpenter and eating his dry bread. Why?”
The Guru replied, “I cannot eat your food because your bread is ill-begotten and has been made with money sucked from the poor through unfair means, while Lalo's bread is made from the hard-earned money.” This made Malik Bhago very mad and he asked the Guru to prove his point. Guru ji then sent for a loaf of bread from Lalo's house. In one hand the Guru held Lalo's bread and in the other that of Malik Bhago's, and when he squeezed both. Milk dripped out from Lalo's bread and blood dripped from Malik Bhago's bread. Malik Bhago was completely shaken by his guilt and asked for forgiveness. The Guru asked him to distribute his ill-gotten wealth among the poor and henceforth live an honest life. Malik Bhago was re-born with the Guru's blessing.