1. The Sedition against Uthman
After the Investigations

2. After the pilgrimage of 655 C. E. things remained quiet for some time
After the pilgrimage of 655 C.E. things remained quiet for some time. With the dawn of the year 656 C.E. Madina itself became a hot bed of intrigue and unrest
Muhammad b Abu Bakr, and 'Ammar b Yasir returned from Egypt to Madina. They were joined by 'Amr b Al 'Aas . They let loose a flood of propaganda, and vilified the administration of Egypt. It was given out that the administration of Egypt was guilty of tyranny and oppression. 'Amr b Al 'Aas took pains to project the view that under Abdullah b Sa'ad, the Governor of Egypt, the taxes were most oppressive, and while the she camel had been forced to give more milk its young ones had been starved.
Muhammad b Abu Bakr had personal grievances against Uthman, and he condemned Uthman's Government for its inefficiency. '

3. 'Ammar b Yasir had at the outset supported the candidature of Ali for the caliphate, and he was a bitter critic of the administration of Uthman.
It cannot be said why Uthman chose to send him to Egypt to inquire into the affairs of the province when it was known that he was prejudiced against the caliphate of Uthman.
Perhaps Uthman considered that a report by a person who did not belong to his camp was likely to be more assuring . 'Ammar b Yasir, however, did not submit any report. Instead in Egypt he joined with the malcontents, and carried on propaganda against Uthman.
When 'Ammar returned to Madina he did not see Uthman. Instead he became active in creating unrest in Madina.

4. People accused Uthman of nepotism
Marwan a cousin of Uthman acted as his Secretary. Another cousin of Uthman acted as the Superintendent of the markets in Madina. Uthman paid them for their services from the Baitul Mall This was made the subject of criticism.
Uthman gave some gifts from the Baitul Mal to Zubair b Awwam and Talha b 'Ubaidah. It is not known what exactly was the occasion for the grant of such gifts but presumably such gifts were made because of their services.
Criticism against Uthman took over a virulent form. People began to talk freely as to who would be the next Caliph.

5. As the criticism grew and began to get out of hand Ali decided to speak with Uthman. This is what he said:
"I have been sent by the people to you. Many things are being said against you, but I do not know how I should tell you what they say. I cannot think of any matter about which I can advise you, nor do I know of anything more than what you know. You are aware of all this. How should I give you any information, for I am not better informed than you, nor anything has been said in secret, about which I know but you do not. We are all nothing in front of you. You have seen the Holy Prophet; heard him; and lived in close companionship with him. Neither Abu Bakr, nor Umar were superior to you in any way. In relationship to the Holy Prophet you were closer to him than all of us. The position attained by you was gained by none else.
Under your caliphate the community has come to be faced with some problems. O Caliph, invoke God's help in solving these problems. I need offer you no' advice. Take heed and remember that the nearest to God is a Caliph who is just and upholds the covenant of Allah as revealed to the Holy Prophet and discards all that was discarded by him.
The worst man on earth is the Imam who is cruel and one who has gone astray himself, and makes others go astray, who revives the discarded vices and discards virtues. All these things are clear to you. Right and wrong are far apart. I have myself heard the Holy Prophet say that on the Day of Judgment, a tyrant Imam will be friendless and sent down to hell. He would revolve around it like a grinder and then be plunged into the bottomless pit. I want to remind you of God's powers, and His revenge. His punishment is severe and powerful.
Be careful that you do not become the murdered Imam for the flock for it is said that one of the Imams would be killed who would open door to dissension within the community. Things would come to such a pass that the Muslims would be divided into various sections. Falsehood would gain such ascendancy that people would forget what is right."

6. Uthman listened patiently to the talk of Ali and then said:
"All, I am grateful to you for having come and talked to me. I have always looked to you as my best support. You are a keen judge of men and matters, and you are known for your perception of the truth. I had expected that in this crisis you would discern the truth, and take measures to stop the false propaganda that is poisoning the atmosphere. Instead you have talked in the same vein as the malcontents. You have insinuated that as an Imam I had been cruel and tyrannical and that the punishment therefor is hell.
This is uncharitable on your part. You have been- apparently led away by the false propaganda that is being carried by some persons who have their own axe-to grind.
In my speech on the occasion of the Hajj I dealt with all the allegations that had been leveled against me. All the persons assembled corroborated what I had said.
No one had the courage to stand up and say anything to the contrary.
It is unfortunate that in Madina some further propaganda has been made. I have pondered over all what the people say, and I will talk about this further in the Prophet's mosque.

7. On the following Friday, Uthman addressed the congregation in the Prophet's mosque.
He reminded them that he did not ask to be the caliph. It was a position imposed upon him. He reminded the people how he was rich and was not in need of anything but accepted the position for the sake of allah
He reminded the people of the good things he has done since being the caliphate and asked the people to desist in the fitnah and join together and unite as one for the sake of Allah
Did this resolve the situation? Sadly No