The size of the database elevates the likelihood of finding a match by pure chance alone; i.e., DNA evidence is soundest when a match is found after a single directed comparison because the existence of matches against a large database where the test sample is of poor quality may be less unlikely by mere chance.
The basic fallacy results from misunderstanding conditional probability and neglecting the prior odds of a defendant being guilty before that evidence was introduced. When a prosecutor has collected some evidence (for instance a DNA match) and has an expert testify that the probability of finding this evidence if the accused were innocent is tiny, the fallacy occurs if it is concluded that the probability of the accused being innocent must be comparably tiny. If the DNA match is used to confirm guilt which is otherwise suspected then it is indeed strong evidence. However if the DNA evidence is the sole evidence against the accused and the accused was picked out of a large database of DNA profiles, the odds of the match being made at random may be reduced, and less damaging to the defendant. The odds in this scenario do not relate to the odds of being guilty, they relate to the odds of being picked at random.