Los Angeles police say undercover officers made three buys from Ying Lien Wang before she was arrested in the 800 block of Broadway, near Lincoln Boulevard on Tuesday around 2 p.m.
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Police say none of the 61 test kits recovered in the bust meet Federal Drug Administration safety standards.
"The suspect sold her products on Craigslist," LAPD said in a press release. "None of the Covid-19 test kits recovered had been tested to meet United States safety standards and could pose a risk to anyone using them."
Detectives with the LAPD's commercial and intellectual property crimes unit worked with Homeland Security Investigation to serve a search warrant at the location prior to the arrest.
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Wang was arrested on suspicion of false advertising and faces additional pending charges for violating health and safety codes.
The agency is reminding the public that L.A. is offering free tests to people.
Anyone with information regarding the case is asked to contact detectives at (213) 486-5940.