Lindsay Lohan's representative has played down reports surrounding the actress' latest arrest, insisting the alleged hit-and-run is "much ado about nothing".

The Mean Girls star was arrested in New York in the early hours of Wednesday (19Sep12) after she reportedly hit pedestrian Jose Rodriguez while driving her Porsche Cayenne into a hotel car park in Manhattan. She was booked for leaving the scene of the incident and was released soon afterwards without bail.

Rodriguez has since accused the actress, who has previously struggled with drink and drug problems, of "slurring" her words and smelling of alcohol during a brief verbal exchange following the accident, but Lohan's spokesman Steve Honig is confident his client is completely innocent.

He tells Eonline.com, "While some of the facts are still being gathered, it appears that this is much ado about nothing.

"We are confident this matter will be cleared up in the coming weeks and the claims being made against Lindsay will be proven untrue."

Lohan's estranged father, Michael, has also cast doubt on Rodriguez's story, stating, "I think this is all a setup. I love my daughter and I believe her 100 per cent."

If the 26 year old is convicted of the misdemeanour offense, it could constitute a violation of her probation following the theft of a necklace from a jewelry store in Venice, California last year (11) and lead to more jail time for the actress.