Dev failed to recognize Baba even though he was served a meal in person. How is this possible? Doesn't this whole story sound like a convenient after-the-fact explanation to cover for Baba not actually showing up as promised?

The narrative in Chapter 40 directly addresses why Dev failed to recognize Sai Baba. Dev himself reflects on this, admitting his own pride and confusion. He explains that the Sanyasi had previously visited him to collect funds for cow protection, long before the invitation for the Udyapan was extended to Baba. Therefore, when the same person appeared for a meal, Dev's mind was clouded by this prior context, and it "did not occur to Dev that it was Baba." The text attributes this to a "veil of Maya" and a state of "delusion." Baba's own words to Jog confirmed He was the Sanyasi who came with two others, fulfilling His promise exactly as stated. Dev’s subsequent remorse, where he exclaims "Shame, shame! I blamed Sai in vain!", underscores the story's internal logic that it was his perception, not Baba's absence, that was the issue.