I have the same exact symptoms, and this is getting really frustrating.
I have eliminated every plugin ONE at a time, and everything else one at
a time, and still, it causes my system to flicker the "Desktop - System
Settings," then everything disappears and it goes back to OEM state on
the desktop with the default background.

Like the OP, the only way i can recover this crash is if i modify
~/.kde/share/configs/kwinrc so that the Enable=false. I have also tried
compiz, which worked for one boot, and then it didn't work any more.

I love the desktop effects, since i am indeed an aesthetically oriented
person when it comes to my computer.

Another odd detail i have noticed, when i boot up after CRTL+ALT+DEL
when i open "CTRL+ALT+F1" the splash screen is really choppy.

I have tried numerous tactics to get this thing to work, and it DID WORK
FOR A SOLID 3 DAYS, then stopped working.

Anything on how to get my desktop graphics back and working properly,
would be much appreciated.

System:
Acer Desktop
4 GB RAM
AMD Phenom 9500
ATi Radeon HD 2600 Pro
Soundblaster Audigy 4
1.5TB SATA hard drives

Thanks in advance.

-- 
Enabling desktop effects causes desktop black out, when using ATI fglrx drivers
https://bugs.launchpad.net/bugs/355159
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