She is expected to be released on police bail later on Thursday evening.
PPS chairman and state executive councillor Phee Boon Poh is also supposed to be questioned on the issue.
Loone's article "Exco man grilled for four hours, treated like a criminal", claiming that Phee was mistreated while being detained on Sunday was deemed seditious.
Penang police chief Senior Deputy Comm Datuk Wira Abdul Rahim Hanafi had said that Loone, Phee and the online portal Malaysiakini will be investigated for publishing an article deemed seditious.
Several NGOs had lodged nine police reports on Tuesday against Loone and Malaysiakini over the article.
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