Busted is a term referred to when a player is arrested in a GTA game.

Many things can contribute to this:

Getting pulled out of a car/ bike/ helicopter/plane/boat
On the ground as a cop is standing over you (mainly in hand-to-hand combat)
Getting knocked over while trying to steal a cop car (while a cop is inside)

Note: The only way to get busted is by attaining a wanted level.

GTA:SA

In Grand Theft Auto: San Andreas, when Carl Johnson gets busted, he will say either positively or negatively depending on the wanted star levels at the cop. these are the following ways to get busted.