This is one of those fonts copied/cloned/digitized in the 90's by many well known font-forgery companies. You can find it under the following names, but you should perform a more thorough investigation if you want to acquire a legitimate license to use it on a commercial project:

FZ JAZZY 17 - Copyright (c) 1994 By Fantazia Concepts Inc,
Grooovvelic - Adapted 1990 by Walter Kafton-Minkel
Leary - (no copyright info)
LSD - (no copyright info)
OPTISmoke - Copyright Copr. Castcraft Software, Inc. 1990-1991
Pigs 1,2,3,4,5,6,7 - Cambridge Fontworks
Psychadelic - Adapted 1990 by Walter Kafton-Minkel
PsychedelicSmoke - Adapted 1990 by Walter Kafton-Minkel

Thanks! Your info helped me find this: http://typophile.com/node/35379

It looks like it was called Baghdad Backslant and Psychedelic Smoke is the closest digital version.

Thanks!