The police cordoned off a section of central Wellington after a man brandished a weapon in a clothing store in Manners Mall.
Officers converged on the area after reports of a customer threatening staff in the streetwear store, Loaded, on Thursday afternoon.
But the police say further back up was required to deal with a large group of people who took exception to the police presence.
A cordon was set up at both ends of the mall. The police say order was restored quickly and the man was led away in handcuffs at about 4.15pm.