the answer should be yes.because you were in fact arrested,fingerprinted,and pictured,it was a sting and you fell ,why deny the truth,now you were not convicted ,because of your state laws,very different to federal laws,if you tell the truth I see more chances of aproval than if you deny as it never happened ,it happened and they will know about it,I also had an incident and also my fbi ccheck came clean but i ansewered yes to the question because it happened and it was real I got a diferent result than you because of state laws,but it happened.and I had and have to deal with it as it was.
good luck.
I answered no to the question. I passed interview..see below