From the blog "Psi-5"

An Atari 2600 game called Fire! that supposedly involved setting fire to things first appeared on some of the original collectors lists of unreleased Atari games that began circulating on the net in the late 1990s and early 2000s including this one.  I often wondered about this game myself, as it also appeared in the Rumor Mill section of the Digital Press Guide... No one seemed to know much about the game.  I