CIA originally tried it as a truth serum. Trouble is, that sometimes people think they can fly and having an iterrogation subject take flight out of a window is not the best way to conduct covert business. I think that was the basis for MK-ULTRA. I'll have to do some re-reading. There is a section of it mentioned in the book "The Men Who Stare at Goats," but I don't think the psychis spies/Jedi Warriors actually used it to increase ability.
Can't say what the logic would be for getting the command level fried on psychoactives, then turn them loose. That vid made me think of the Do Long Bridge scene from Apocalypse Now.
"Lance, what do you think?"
"It's beautiful man."
"Huh? I mean what's the matter with you? You acting kinda weird."
"You remember that last tab of acid I was saving?"
"Yeah."
"I dropped it."
"You dropped acid? Far out."