In my upcoming Dragon-Blooded game for Exalted I intend to do this as well, but I would like to extend matters further - In addition to cut-scenes (in which PC's would have no effect or direct influence) I would like to use flashbacks into the PC's past - and more to the point I would like to make them interactive.
What I mean to say is in effect I want to drag the fullness of the game back in time - with everything that means, except I am not sure what I could get away with and what I couldn't. When characters hit the table there are risks, including the ultimate risk of character death, which of course cannot occur in a flashback because if the character dies then....indeed I cannot jeopardize any of the PC's 'assets' currently in their posession because that wouldn't make any sense....a least not without ANOTHER flashback to illustrate how their assets return to their 'modern day' levels.
What do you think about this? Any ideas? Any do's and don'ts?