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1.
That which is unpleasant, or a mess. So called for the mental image of a collection of fannies, perhaps belonging to the elderly or lose of morals.
Also applied to that which shapes badly.
Stan: I'm sorry Ollie, I just can't get it right.
Ollie: Jesus wept man, you shape like a bag of fannies.

Taken from an inital write of Laurel and Hardy's "Sons of the Desert"
by Waster August 25, 2005