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A gang of marauders, led by Zorasto, defeat Razoul and the other guards by chaining them up. Zorasto tells the guards to go back to the palace. The marauders stole the Sultan's treasure. The guards tell Jasmine, who taking her father's place at the throne while he's away, about the marauders.
Two ambassadors suggest that they have a war, but Jasmine suggests that they get a shipment. Razoul says that it can't be done and Aladdin shows up and tells the guard that he'll get the shipment through. Jasmine tells Razoul that he'll be paid after Aladdin gets the shipment through, but the guard says that Zorasto is a fast marauder and that no one can beat him. Genie suggests that he trains Aladdin to be faster than Zorasto, but Aladdin says that he can just ride with Razoul, but Razoul tells Jasmine not to entrust the mission with the street rat. The ambassadors agree. Jasmine says that she trusts Aladdin to defeat Zorasto and then Razoul reluctantly accepts Aladdin.
Aladdin, Genie, Abu, Iago, and Razoul are at the canyon riding on camels. While Razoul is paranoid about the marauders, Iago suggests to Abu that they play dead so that they can steal the gold while no one's looking. Bright light flashes and everyone is suddenly captured. Iago and Abu play dead and Zorasto shows up and suggests that they eat the animals. They wake up and tell the marauder that they're on their side. Aladdin and Genie get in on it too, but Razoul believes their lies and thinks that Aladdin is a traitor. Zorasto welcomes everyone but Razoul, who he forces to leave.
Come nighttime and everyone, except Genie, is dressed as a marauder. Iago says that he can't keep this up forever, but Aladdin says that this is the only way to find out how Zorasto's magic works. Zorasto shows up with a sack of money, thanking Aladdin for bringing the caravan to him. Aladdin asks Zorasto about his magic, but the marauder does not answer. Aladdin suggests that he warns Jasmine while Genie covers for him.
On his way to the palace, Aladdin gets mistaken for a marauder by the guards, who capture him. Razoul tells Jasmine that Aladdin's a traitor and the princess tells him that the street rat is just tricking Zorasto. The ambassadors doesn't believe Aladdin when he tells them about Zorasto's magic. Jasmine tells Aladdin that the ambassadors hired the Riders of Ramond. Aladdin tells them that the desert is too dangerous for them to stop the marauders, but they don't believe him, neither do the ambassadors, who suggest to lock up Aladdin. Jasmine refuses to do so, but Aladdin says that it would be right for Agrabah. Jasmine then reluctantly accepts the ambassadors' ideas. Aladdin tells the riders about Zorasto's magic, but they are not afraid.
That night, Jasmine, with the help of Carpet, frees Aladdin and suggests that he stops Zorasto while she takes care of the riders. Aladdin goes to Genie to tell him that the riders are coming. The next day, the riders are ready to go to the canyon, but Jasmine shows up and decides to help them. The gang and the marauders are at the top of one of the canyons watching Jasmine and the marauders approach. Zorasto takes out an hourglass. The glass slowly loses sand and the marauders rob the riders and chain them up. Aladdin sees that it was the fact that the marauders freeze time that made them strike so fast. He then sees that they also caught Jasmine. Zorasto makes Aladdin execute the princess, but the street rat refuses, so the marauder grabs his sword to finish him, but Genie interrupts to make Zorasto believe he's a desert insurance. The jinn makes Aladdin sign a paper that says he can't be an executer, so Zorasto decides to be one himself. Aladdin makes Abu give him a key to free the riders.
After doing so, Aladdin tells them to defeat the marauders, but the riders still think he's a traitor, so they won't listen to him. One of the marauders tells Zorasto that the riders are free. While the riders and marauders fight, Aladdin frees Jasmine, but Zorasto throws piles of coins at the street rat. Aladdin then finds the marauder about to throw Jasmine off the cliff if the riders don't surrender. He goes behind Zorasto, but one of the other marauders lets him know. Jasmine then tells Aladdin to not worry about her and to stop Zorasto, which surprises the marauder. Zorasto falls over and the princess falls down.
Abu turns over the hourglass and Jasmine stops falling and Aladdin catches her. The marauders now surrender. Back at the palace, everyone apologizes to Aladdin for not believing in him. The riders then ask the street rat to join them, but Aladdin says that he would rather stay in Agrabah with his friends.