If the data is truly biased in that it doesn't reflect reality then sure, go ahead and correct for this bias. But make sure you are not introducing your own biases which are wrong. "But is it OK that we’re using extraordinarily biased data about previous arrests to predict future arrests and determine where police are stationed?"

The truth is that men living in certain areas are much more likely to commit violent crime and therefore get arrested than the average person in the United States. This is the sad reality of the world we live in. It isn't wrong to deploy police resources where they are most needed. If the data shows that these areas are no longer hotspots of crime, then we can reroute resources elsewhere.