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CHARLOTTESVILLE, Va. (WTVR) – The Virginia Department of Alcoholic Beverage Control says it is “embarrassed” over the wrongful arrest of a University of Virginia student.

ABC agents thought Henrico-resident Elizabeth Daly was carrying a 12-pack of beer as she walked out of the Harris Teeter grocery store in the Barracks Road Shopping Center, in Charlottesville.

They now know it was a box of La Croix sparkling water. Daly declined to comment on camera, but told CBS 6 she and her two roommates were frightened when people–agents in plain clothes–quickly surrounded the group.

The ABC told our affiliate, Newsplex, that the six agents who arrested Daly used “poor judgement.” Daly said she panicked when the plain clothes agents approached her and pulled out a gun, so she and two friends fled in their car.

Daly was later arrested on two felony charges and spent a night in jail.

The charges were later dropped.

Virginia State Police are now reviewing the circumstances that led to Daly’s arrest.