[Kaleban]

Actually, its even simpler than that.

When you beat the game, or just before you do, go into your stats screen "R" and click on EXPORT. Type in a name, then click done. Go back to your main menu, click on Start a New Game (single player if by yourself, multi if you wanna go online with him) then just Import the character. Regardless of which one you pick, you'll start with no items. There is a workaround for this...
SPOILER
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When you start a new game, regardless of which type, you'll see a "black screen" just after the game has loaded. If you pause the game, your "bars" should come up, and you can go into Inventory and all your stuff should be there. Simply drop everything to the ground. Once the "torture" sequence is done and Imoen comes to help you, all your stuff will be piled at your feet. If doing this in Multiplayer, go through all your characters and do this. It will make the game rediculously easy from the start, but if playing on Insane for a challenge, or with friends online, I guess you can justify the "bug" being used.