*** This bug is a duplicate of bug 350327 ***
    https://bugs.launchpad.net/bugs/350327

disable compiz and your vnc should start working.

There is a compatibility issue with the latest xorg and compiz.

http://ubuntuforums.org/showthread.php?t=1152560

-- 
remote desktop does not work in Jaunty
https://bugs.launchpad.net/bugs/365667
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which is subscribed to nvidia-graphics-drivers-180 in ubuntu (via bug
350327).

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