CAMPAIGN ’88 : FBI Probe Launched
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.
“I’ve been contacted by the FBI,” Rama White Middell, a former senior executive assistant to Karl, said Tuesday. Middell has said that she and other employees felt their jobs were in jeopardy if they did not agree to Karl’s requests for contributions.
Also confirming that an investigation was under way was Linda Cacia, another former employee of Karl at the now defunct Karl-Lorimar Home Video. She would not elaborate.
FBI spokesman Jim Neilson refused to comment on a pending investigation. Karl has not been available for comment.
Karl’s attorney, Michael Genovese, said Tuesday he had no knowledge of an FBI investigation.
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