We might need a source on this one. A couple of posters have doubted your claim, and I for one would be very surprised to learn that a state or the federal government has actually passed legislation making this a criminal offense. It's possible that this process could be USED to launder money, which is obviously illegal, but the process itself doesn't constitute money laundering unless one is attempting to conceal the illegal source of funds, or use the process to hide income for the purpose of evading taxes.