Had the same problem updating to 9.04 (ATI graphics card)

I managed to work-around by following part of this old forum post:
http://ubuntuforums.org/showthread.php?t=470306

That is:
- Install x11vnc and vnc-common:
  
   sudo apt-get install x11vnc vnc-common

- Disable vino (preferences -> remote desktop)
- Start the vnc server:

sudo /usr/bin/x11vnc -rfbauth /etc/vnc.passwd -noxdamage -forever -bg -o
/var/log/x11vnc.log -rfbport 5900

Hope this helps,
Lorenzo

-- 
Compiz / vnc screen refresh with nvidia-restricted driver/VirtualBox/ATI fglrx 
driver
https://bugs.launchpad.net/bugs/353126
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