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Devil's Bayou is the scary swamp where innocent orphan Penny is being held prisoner.

Devil's Bayou is the fictional setting from Walt Disney Pictures's 1977 animated film, The Rescuers.

This gloomy swamp is the hideout of the evil Madame Medusa, here is where she has brought the little orphan girl, Penny, so she can search for the Devil's Eye, the world's largest diamond in a pirate cave near by, at the Black Bayou. Devil's Bayou is an uncharted, gloomy and dark swamp area where Penny must not only deal with the horror of being held prisoner, but also knowing that Madame's henchmen will not let her out of their sight. Often, Brutus and Nero, Madame's two pet crocodiles have caught Penny trying to run away and not until Mr. Snoops fails his duty, will Penny be able to send out the call for help (a written plea inside a bottle) that will bring her the needed aid.

An old abandoned riverboat serves as headquarters for the evil Madame Medusa, Mr. Snoops, Brutus and Nero.

The location of Devil's Bayou has been disputed many times, especially by people who insist that all of Disney's classic stories must take place in our world, rather than realize that these places are as surreal and fantasy-based as the characters in them. Still, the southern accents of the Swamp Folk have brought many to believe that Devil's Bayou is located somewhere in Louisiana or Florida, which makes little sense considering that it would have been difficult for Penny's bottle to travel from here all the way to New York City. It is also worth noticing that the characters' accents don't necessarily describe the location, for instance, several characters from Disney's previous animated film Robin Hood had southern accents even though the film took place in England.

In fact, Devil's Bayou is a fictional island. Mentioned only once (by Mr. Snoops) in the film, but several times in the different trailers, there's enough evidence to conclude that, in fact, Devil's Bayou is part of a fictional, uncharted island:

• Penny's bottle traveled all the way across the sea to New York, therefore, the place must be connected to an ocean.
• The tide falls and rises inside the cave, however tides are neglident in the bayous. We can hear and see ocean waves splashing against the shore right before the scene in the cave, suggesting a place by the ocean.
• Mr. Snoops says the line, "They're supposed to be patrolling the island".
• Palm trees can be slightly seen in some of the opening shots of the film.

Bernard and Miss Bianca find the Devil's Eye inside a human skull.

The Devil's Eye is fictionally the world's largest diamond. Madame Medusa has sought this precious jewel for a long time and has discovered its location to be in Black Bayou, near Devil's Bayou; unfortunately, she has also discovered that the diamond is inside an underground cave, where the jewel had been hidden by pirates decades before. Madame Medusa realizes she cannot pass through the tiny, narrow opening of the cave, so she kidnaps Penny from Morningside Orphange and forces her to enter the cave and search for the diamond. Penny later discovers the Devil's Eye hidden inside a human skull.

• The concept for the diamond was taken from a huge diamond that exists in the British Crown Jewels.
• In Margery Sharp's novel, Miss Bianca, the little girl Patience is forced to daily polish each diamond in the enormous Diamond Palace. This concept inspired that of the Devil's Eye in the film.
• Madame Medusa exclaims "filled with power for its owner!", which suggests the diamond might hold some supernatural power.

• The Rescuers
• Bernard
• Miss Bianca
• Madame Medusa
• Penny
• Rufus
• Orville