I've seen this theory mentioned a few times and I don't get it, obviously because I have such a pure and innocent mind. If you had a load of money why would you want to get rid of it and why invest it in a sponsorship deal?
I know that would be seen as a legitimate advertising expense, but at the end of the day you've still spent the money..
I don't really know what i'm talking about either btw.
But look at your classic money laundering operation, for example, a barber shop or tattoo parlour - any cash business. These are used as fronts to turn illicit cash into usable money. The tax man can't possibly prove how many haircuts/tattoos they have done in a day/week/month. Just take a look on your local high street, you'll see these small businesses that you seldom see customers in, yet they somehow seem to employ 5 or 6 people who are sat around on their phones.
My hypothesis in a scenario such as this is that you have so much cash that it's an interest liability and you need it in the system so you can invest it in legit things. So, by agreement with a receiver, ideally one who has a big cash flow, you inject large amounts of cash into their business and in return they feed it back to you piecemeal, or in exchange for goods/services, while taking a % themselves. In an F1 team, big transactions won't exactly stand out on a ledger. So, if they purchase any old item from one of your 'other' companies for a silly amount (Here's you bag of 10x M5 nuts sir, that'll be $250k) you can have the money in your account.
I don't know if that's even possible, but I like to imagine there's some Croatian dude stroking a white cat on his lap looking at all this going "mwah hahahahaaaaa!"
Mods, if you feel this is verging on slander. I will delete it quick sharp.