Will Adding Wood Chips meant for smoking to whiskey add bad flavor Take a Kirkland Blended Whisky or something similar. Is it reasonable to put that in a container with smoking wood chips and let sit for a long while with good results?

Are there any gotchas that will just make this a terrible idea.

Also thought about charring the woodchips first.
Yes, it will taste like wood and not the smoked flavor you are seeking. First they should be oak chips. Then they should be charred. You should probably visit the Distiller's Forum and this topic comes up quite a bit. You want the chips to be charred black but not burned all the way through before you use them. Unlike wine chips, that should be toasted to just a deep brown. 

Why should you want even more charred flavor in a Whisky that's already got it? If you want to make your own Whisky, just use vodka or Everclear.