Q: Someone tried to steal my iPod touch and I got it back but now its disabled because they kept entering the wrong code. How do I fix this?
A: Normally the disabled mode will reset after a certain amount of time depending upon how many incorrect attempts were made. The iPod touch allows five incorrect passwords before it disables access at all, after which the amount of time it is disabled increases with each subsequent attempt, starting at 1 minute and ranging up to 60 minutes after the ninth attempt.
So one option would be to simply wait it out. However, you can also reset the counter on your iPod touch by syncing it with your iTunes library. This must be the library that you primarily sync with or the one that you initially used to setup your iPod touch if you regularly use your iPod in manual mode. Note that you must actually perform a sync operation with iTunes to disable the lockout counter—simply connecting your iPod to your computer and running iTunes without performing a sync operation will not work.
Also keep in mind that you will still need to enter the correct passcode to actually access your device, but the disabled counter will be reset so that you can try again right away.