I just reproduced something like this (April 18, 3:00AM UTC).

My screen went darker, and I entered in my password (after running
update-manager).  After successfully entering my password, the screen
stayed dark except for the update manager and an applet or two.

The Applications/Places/System and the quick launch icons on the panel were not 
responsive, but double-clicking on the folders/icons on the desktop worked fine.
I did Ctrl-Alt-Backspace to see if it would come back, but when I logged back 
in, the panel was completely gone.  I had to reboot to get it to come back.

I am using the latest of everything right now as far as compiz-fusion
goes ... actually I don't know what nvidia driver I'm using... whatever
it is that comes with Hardy.

-- 
password entry screen freezes my desktop
https://bugs.launchpad.net/bugs/107124
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