Dennis Jackson, 61, is alleged to have posed as a state Occupational Safety and Health Administration inspector at the Pick and Pull Automotive on Gas Line Road, using the alias of Tim Peters.
Jackson also claimed to be a retired FBI agent and showed employees a badge, the Sheriff's Department said in a news release.
He told the owner he needed to inspect the business and during the inspection, he told the owner he was going to fine him for a violation, authorities said.
Jackson told the owner he could settle the fine by paying him cash, authorities said.
The owner learned in a phone call to Cal OSHA that Jackson was not an employee.
Investigators identified Jackson after the business owner provided them with a car license plate.
On Wednesday, a search warrant was served at Jackson's Corona home in the 24000 Block of Fawnskin Drive and he was arrested on suspicion of entering a business with the intent to commit theft.
He was booked at West Valley Detention Center in Rancho Cucamonga. He posted bail Wednesday night and was released.
Investigators said Jackson may have attempted to or has been successful at extorting money from other businesses.
Investigators ask anyone with information, or who believe they may have been a victim, to contact the sheriff's Victorville station at 760-241-2911.
Anyone wishing to remain anonymous may contact the WeTip Hotline at 800-78-CRIME or leave information on the WeTip website at www.wetip.com.