City police chief Senior Superintendent Moises "Kamagong" Guevarra identified the suspect as Rhoderick Manalang, 32, of Tondo, Manila.
Recovered from Manalang were three marked P500 bills used in the entrapment.
Businesswoman Choan Conwi-Vellon, of Barangay Niugan, Malabon, has filed charges of robbery-extortion against Manalang, who has been detained at the Malabon City Jail.
Inquest Prosecutor Neptali Aliposa imposed a bail bond of P150,000 for the suspects temporary liberty.
PO2 Peter Rios said that at around 3 p.m. last Thursday, Manalang approached Vellon, who owns several toy stores, and offered the "fast processing" of her business papers.
Rios said the suspect introduced himself to the victim as "Atty. Jun Mendoza," of the citys Business Permits and Licenses Office (BPLO). She was promised "no-hassle" processing of her permits.
The suspect told Vellon that his service was guaranteed in exchange for P2,500 in cash.
Sensing something amiss, Vellon called up the BPLO and asked if they had an employee named "Jun Mendoza." When assured that there was no such person at the office, Vellon continued dealing with the suspect and haggled with for a lower fee. Manalang agreed to a P1,500 service fee.
Vellon then called up the police, which responded with an entrapment at her store.
A team led by SPO2 Jerry Prila pounced on Manalang, who did not resist arrest.
Rios said they are verifying previous reports of at least five similar extortion activities, mostly from junkshop owners in the city, where the suspect could have been the perpetrator.
Guevarra asked the complainants to come to the station to identify the suspect.
Mayor Canuto "Tito" Oreta has warned against impostors plying their nefarious trade in the city.
He said he will not tolerate these kinds of activities and will put to jail all who will try the same trick. With Pete Laude