Yes, these did start out as Fiat 126s (otherwise known as Fix It Again Tony) and just what was trying to be accomplished here is open to speculation.
Here's another photo of a somewhat more extreme version ? makes you want to ask "WTF is this all about?" Looks like something the lads on Top Gear would come up with
. Afterall they did try to make a space shuttle out of a Reliant Robin.
I suppose it could be one solution to a bad fogging-up problem with the windshield. Certainly be entertaining to drive it through an evening bug swarm