yeah I think setting up a legitimate looking "shell corporation" with a bank account in the Caiman Islands is the usual way money gets laundered. Or something very similar.
those familiar with corporations know that you have to make your tax filings and other filings every year. cali-fornicate-you charges a min tax of $800/year and you have to file federal forms and send $35 to the Cali-fornicate-you secretary of state along with a declaration of corporate officer names and addresses so that they know who to contact regarding corporate legal schtuff. All that has to be set up along with the paperwork when you form the corporation. So yeah there are some checks and balances involved but it's still possible, with some creative lawyering, to scam the system.