Allegedly, if you dismiss all NPC males and dress a female solo in the kanzou gettup, All Sexy will do the deed... Though you don't acutally need her help: you can fight your way through all the templars to the transporter, I think-- I cleared the Castle before becoming a templar for the extra exp.
King's cave key opens the cave behind his tent where he's keeping his wife imprisoned.
Did you try taking the idol without any NPCs present? If so, the game usually just skips the kidnapping bit...
HTH
Oru
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