。
It's said she's in love with him.
Literal
She [topic-は] him [to-に] love [object-を] is-doing [quotative-と] is-being-said.
~と言われている ('is said to, is being called X') is the impersonal passive of 言う — used to report common opinions, rumors, or generally-held views without specifying a source. Compare with ~そうだ (hearsay), which often implies a specific source. 恋をしている ('be in love,' literally 'doing love') uses the verbal noun 恋 with する; takes the loved person with に.