From the Super Mario Wiki
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The Bandit Orb makes its only appearance in Mario Party 7, where it is found only on the gameboard, Windmillville. Players throw these on a space on the board. Opponents that land on a space contaning the orb make Bandit appear at one of the windmills with some of their coins saved in there. Bandit steals their coins from that windmill and gives them to the owner of the space.