The Eye of Shiva is a legendary stone created by Shiva. With the correct knowledge, the wielder could use it to unleash intense firestorms. The only known way to destroy it was to submit it to extreme cold temperatures. It was held in the Temple of Shiva for roughly 3000 years, before the O'Connells and Imhotep raced to reach it first. However, both were beaten to the prize by Charlie Royce, who brought it with him to Chicago's International Fair along with an imprisoned Rakshasa. News of an unveiling of an exhibit from the Temple made all of the newspapers, attracting the attention of both parties.
Upon attending the Fair's exhibit, the O'Connells discover, to their surprise, that the exhibit is in fact Rakshasa, nicknamed the Tiger-Man, not the Eye, which Charlie kept on his person for himself. Jonathan Carnahan later inadvertently lets Tiger-Man free when the latter disguises himself as Royce, who sets off after Royce to find the Eye when it becomes obvious Jonathan knows nothing.
After a long fight between Imhotep, Tiger-Man, and the O'Connells across a Hall of Mirrors and a roller coaster, during which Tiger-Man activates the Eye's powers, the Eye is eventually thrown to Jonathan, who takes a hot air balloon and throws it through the vent of the Frozen Wonders exhibit, shattering the Eye and ceasing the firestorm.