Stuart Karl

The FBI launched an investigation Tuesday into video entrepreneur Stuart Karl's political fund-raising activities on behalf of former Colorado Sen. Gary Hart's 1984 presidential campaign and three other Democratic candidates. Karl, 34, of Newport Beach, who made millions marketing Jane Fonda workout tapes and Playboy home videos, has allegedly been getting around federal election laws by asking his employees to contribute money to Hart and others and then reimbursing them with cash.

Newport Beach video entrepreneur Stuart Karl Jr. pleaded not guilty Monday to a 12-count federal indictment accusing him of funneling nearly $200,000 in illegal contributions to former presidential candidate Gary Hart and several congressional candidates. Karl walked briskly past reporters who gathered outside the federal courthouse in Santa Ana and refused to discuss the case. "He is not saying anything to anybody," said John Vardeman, one of three attorneys who accompanied Karl.

The Justice Department said Tuesday that the FBI has been asked to investigate allegations that Orange County video producer Stuart Karl improperly funneled campaign contributions to Democratic presidential candidate Gary Hart in 1984 and 1988.

Rama Middell, a former senior executive assistant to video entrepreneur Stuart Karl, said Friday that Karl asked her and other employees to donate to Gary Hart's 1984 presidential campaign on his behalf to get around contribution limits in federal political races. Middell said Karl also made the same request for contributions to 1986 Orange County congressional candidate David O. Carter, a Superior Court judge, and Kathleen Kennedy Townsend of Baltimore, who also was running for Congress.

As federal officials prepared to auction his Newport Beach house last week, one-time videotape king Stuart Karl filed for bankruptcy court protection, declaring that he owes nearly $4 million in delinquent taxes and other debts. Karl, convicted last year of making an illegal contribution to the Democratic presidential campaign of Gary Hart, filed under Chapter 11 of the federal Bankruptcy Code on July 19.

One-time video business whiz Stuart Karl, indirectly embroiled in an ongoing legal malpractice trial, admitted Tuesday that he made mistakes in his well-publicized dealings with entertainment giant Lorimar but stressed that he is now "trying to look forward, not back."

Orange County video entrepreneur Stuart Karl Jr. pleaded guilty Tuesday to conspiring to violate federal campaign contribution laws, pledging his cooperation in an FBI investigation of nearly $200,000 in illegal campaign contributions to Democratic presidential candidate Gary Hart and congressional candidates in six states in 1984 and 1986. Under terms of a plea bargain, Karl, 36, could be fined up to $350,100 and could be subject to probation for up to six years.

Democratic presidential candidate Gary Hart, dogged by reports of improper campaign contributions, said on Friday that he has returned two potentially illegal contributions to his 1988 campaign. Pledging that "there's not going to be any illegal conduct in this campaign," Hart said he has tried to set a high ethical tone throughout his political career. "I have tried my very best for 12 or 15 years to run clean campaigns up to now," he said during a campaign swing through Iowa.

Orange County video entrepreneur Stuart Karl Jr. was indicted Thursday on charges of violating federal campaign finance laws by allegedly funneling nearly $200,000 in illegal contributions to former Democratic presidential candidate Gary Hart and congressional candidates from six states in 1984 and 1986. U.S. Atty. Robert C.

Democratic presidential candidate Gary Hart, responding to a report that his campaign received questionable contributions from an Orange County film producer, Wednesday denied any knowledge of financial improprieties but said he will "hold myself responsible for whatever happened."