The first requirement is that you have the
APB: Suspect Located research point under Social Engineering as well as some extra Botnet Charge.
Next, you will need to find the donut-disguised man which is easily located by using the
ScoutX app and tracking the
Donut Guy interest point; about 1000m from your main HQ near the painted ladies in the pride part of town. He will only spawn during certain times of the day, I found the most luck around 8:00 - 9:00am in the morning,
Once there, hack the donut guy with the police badge icon. This will unlock and the police will come to arrest him.