MACC said Rosmah was detained at 3.20pm after being questioned for nearly five hours by them today.
Rosmah's lawyer Geethan Ram Vincent also confirmed with The Malaysian Insight of her arrest.
"I can accept taking action on a man who was in power, but putting the women in his life in harm's way is going too far", she said, citing a recent police raid on the house of Mr Najib's mother as well as Ms Rosmah's arrest.
Malaysian authorities once again called in former prime minister Najib Razak and his wife, Rosmah Mansor, for questioning on Wednesday in an investigation into alleged graft linked to state fund 1Malaysia Development Berhad (1MDB).
Investigations into the alleged looting of state fund 1MDB by an audacious global fraud ring have already seen her husband Najib Razak hit with more than two dozen charges including corruption and money laundering.
The MACC has said that Rosmah faces several money laundering charges.
A MACC official said Rosmah could face up to 15 years in jail if convicted on each charge.
She will be charged on Thursday, a source with direct knowledge of the matter said.
In a biography in 2013, Rosmah said it was common for a prime minister's wife to receive expensive jewelry and gifts.
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"She was detained after giving her statement to the graft busters today".
She was spending a night in detention before being taken to court to face money-laundering charges.
This is the first time the wife of a former prime minister has been arrested.
On Sept 26, Rosmah was grilled at the MACC HQ for nearly 13 hours.
She reportedly arrived at the MACC headquarters at 10.40am this morning, and this marks her third (and possibly final) visit.
The NST had reported that one of the charges she could be facing involves the purchase of hormone-based anti-ageing products from the United States worth over RM1 million.
Investigators believe that funds from SRC International may have been used to purchase the health supplements.
These supplements apparently could enhance growth hormone levels by more than 600 per cent, if consumed rigorously.