I won't try to explain the details of the story, since like a lot of affairs it's a total mess : basically, the Karachi bombings might have been organized by Pakistani secret services, who got pissed off when French authorities ceased to send money. The most important thing is that this system of bribery has been established by Balladur (French PM 1993-95) and his close friends (the first of them being Sarko).
The French President has a full penal immunity, so he won't be tried until he leaves Elysée. However, two important members of the Balladur team, Thierry Gaubert and Nicolas Bazire, have been put in custody.
Since a week, Nicolas Sarkozy's name is more and more associated to the Karachi affair. Two of his former advisers have been incriminated this week : Thierry Gaubert and Nicolas Bazire, former Chief of Staff of Prime Minister Edouard Balladur from 1993 to 1995, and director of his presidential campaign.Finally, icing on the cake, Brice Hortefeux, Sarko's right-hand man and former interior minister, is now accused of having informed Gaubert about details of the investigations he wasn't even supposed to know.
A wiretap of September 14 revealed by Le Monde, shows that Brice Hortefeux, former Interior minister, was informed about the accusatory declarations of [Gaubert]'s wife, before the charge sheet was even added to the record....That's something big.