I also get this problem using VirtualBox's display drivers (see
https://bugs.launchpad.net/ubuntu/+source/compiz/+bug/333564 which looks
like a duplicate bug): if I am running a VM with desktop effects, I get
no updates in vnc, but if I turn desktop effects off, everything returns
to normal.

So it seems to be both nvidia and VirtualBox drivers that exhibit this
problem. It isn't a problem on another laptop running 3d effects with an
ATI card.

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