The woman, believed to be a foreigner, went to a chicken rice restaurant with a man around 3pm, Thursday.
A nearby stall owner identified only as Wong said the woman had two plates of chicken rice before trying to leave without paying.
"When the restaurant operator tried to stop her, she denied having eaten there.
"However, she was shown a CCTV recording of her eating in the restaurant, so she started stripping to avoid paying," said Wong, who runs a jewellery stall beside the restaurant.
A video of the woman taking off her top was uploaded on YouTube a few hours after the incident but has since been taken down.
Witnesses said the woman's companion, described as a Caucasian, got into a scuffle off camera with the restaurant operator when she was not allowed to leave.
The duo reportedly fled when policemen arrived at the scene.
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