yadi sma pasyaty asad-indriyartham
nananumanena viruddham anyat
na manyate vastutaya manisi
svapnam yathotthaya tirodadhanam
Although a self-realized soul may sometimes see an impure object or activity, he does not accept it as real. By logically understanding impure sense objects to be based on illusory material duality, the intelligent person sees them to be contrary to and distinct from reality, in the same way that a man awakening from sleep views his fading dream.
A sane person can clearly distinguish between a dream experience and his real life. Similarly a manisi, or intelligent person, can clearly perceive polluted material sense objects to be creations of the Lord’s illusory energy and not factual reality. This is the practical test of realized intelligence.