On Monday 25th November, distraught owner Laila Hepburn told our sister title The Evening News about the moment a woman stole Tinkerbell the chihuahua out of her arms on Sunday evening on the city's bustling Princes Street.
Unable to believe what had happened, the family then offered a £500 reward for her safe return.
News of the dog-napping sparked a flurry of sympathy online and now Laila has confirmed Tinkerbell is safe and well back home. A video of the moment the tiny canine is reunited with Laila shows the dog's tail wagging with excitement.
Laila said: "Someone sent a picture of their 'new puppy', realising that it was actually a stolen dog.
"The man was supposed to be paying for her last night so he didn't, and now she's been returned to us.
"He also turned down the reward and said she should just be home.
"All the way home on the bus people were looking and saying that they'd seen the story. And Marley, our other dog, was so excited to see her."
Following the theft a police spokesman said: "We were called around 7.10pm on Sunday, November 24 following reports of a theft of a dog on Princess Street. Enquiries are ongoing."