What is money laundering? Money laundering is a situation in which a business that is not necessarily legitimate, or is not a legal business, takes a legitimate business, or what appears to be a legitimate business, and funnels it through that business, and when they report that to the IRS that can also be considered fraud in addition to a host of other very serious criminal charges. So anyone who thinks anything that they have done or can even potentially be confused with that, you definitely want to seek the assistance of a criminal attorney who can handle that sort of thing.