The American-Arab Anti-Discrimination Committee was outraged by the animated film in 1992, saying it was perpetuating racist stereotypes.
The group said the decision to have the main characters speak in American accents while other characters did not, sent a negative message.
“The lesson is that anyone with a foreign accent is bad,” then-head of the group’s Los Angeles chapter, Don Bustany told the Los Angeles Times newspaper.
The organisation scored a win when Disney Studios agreed to change the lyrics of the opening song prior to its release on home video.
The live-action adaptation of the movie is seeing sections of the media alluding to similar questions.
According to The Hollywood Reporter, the remake of the film, originally slated to begin production by July of this year, has stalled as the search continues for an actor to take on the lead role.
Despite a worldwide casting call announced in March, and casting directors brought in from as far afield as Egypt, Abu Dhabi and India - production has yet to begin.
Around 2,000 male and female actors have auditioned for the main characters of 'Aladdin' and 'Jasmine', including 'Slumdog Millionaire' star Dev Patel, and British Pakistani actor Riz Ahmed.
Social media users have voiced their disbelief at the studio’s difficulty in filling the roles, with some accusing the studio of racism.
One person even asked why it was so easy to fill roles for terrorists - but not for Aladdin.
People have also taken issue with the fact that Indian actors are being considered at all, as all the movie’s characters are supposed to be of Arab descent.
Many users have been quick to point out that India and the Middle East are two separate places with different cultures.