Was originally featured in MXC (most extreme elimintion challenge on Spike TV) as the last name of several contestants. Actually, the name was "babaganoush," but was mis-heard by many as "babakadouche"; consequently used as a random, and hilarious, insult.
"Hey, babakadouche, you owe me some fucking money."
"Did you hear what Mike Vaughn did?!??!!?"
"Yea, what a babakadouche."