I've been using the jQuery Address plugin which seems to do the same thing: http://www.asual.com/jquery/address/
Such deep linking also needs to be combined with a progressive enhancement approach: each deep (hash-based) link must have a "non-deep" equivalent.
On my site, for example, both of these URLs point to the same "state":
http://alikewise.com/Profile/FounderGuy/Book/42
http://alikewise.com/Profile/FounderGuy#/Book/42
The first one is SEO-friendly, and also friendly in non-JS situations. The latter allows for a nice ajax experience.