Question about The Weeping Warrior Instance

So, maybe I'm missing something, but what exactly is Karazgar's rationale for his actions in The Weeping Warrior Instance?

- He kills an underling that is on the brink of convincing the prince to commit fratricide, a) which would surely throw Dale into disarray, and b) throws the Jangovars into disarray themselves. Is he trying to get rid of the Jangovars so his mafia can move up the totem pole?

- He says he expected the player character to show up as a result of his actions. Why? Is this just because of the personal interest?

- I'm wondering why tell the player character the names of the dragons as a riddle since he's giving his adversaries free info, but that may just be misdirection.