One of the first things I noticed the first time I saw the image of Baraka slashing "Smoke", was the symbol on his boots. Many stated that the symbol was infact the Brothers Of the Shadow's symbol, but it isn't. Look at the symbol behind Reiko's costume in MK4 or Gold, and look at the symbol on Smoke's boots, there is a difference. This evidence proves the "inviso guy" is Noob rumor is false.

Perhaps Smoke has formed a clan on his own? who knows.

If you look at his mask, the crown looks similar to Subzero's shredder helmet. This is another theory which leads me to think that Smoke is a part of the Lin Kuei again along side Subzero.