Thanks for the help. Your feed back helped me determine it was the immobilizer. I went to a wrecking yard and pulled an ECU out of a 10/94 built UCF20 and plugged it in. When we cranked the engine, the ecu was firing 180 degrees over and backfired through the intake. My buddy was looking at the ECU pinouts on both the wire diagrams of the 96 and 97 and found that Toyota flipped the two igniter wires to prevent from swapping out the computer of an immobolized car for a non immobiliser ECU.
Let's hope nobody runs into this issue again. Here's a video of it running longer. No motor mounts just yet so we didn't let the car run for long.
[youtube]http://www.youtube.com/watch?v=pEvlZcoE1Ik[/youtube]