Is there a story that illustrates Sai Baba's profound understanding of Sanskrit scriptures despite no formal training?

Yes, Chapter 39 provides a compelling example. The text marvels at how Sai Baba could possess such deep knowledge, wondering, "When did he study Sanskrit? When did he read the Gita?" The story describes Baba asking Nana Chandorkar to explain the meaning of a specific Sanskrit verse from the Gita. By posing this question and engaging in a deep dialogue about its meaning, Baba demonstrated that he was the "knower of the heart of the Gita's meaning." This event serves to illustrate that the knowledge of great Saints like Baba is innate and transcendent, not dependent on conventional study, a point highlighted to show that their wisdom is beyond ordinary reach.