Upgraded to Quantal and same problem for me. Xfce Desktop, composition
turned off.

The mouse pointer wraps back to screen one when attempting to go to
screen 2.

And we are not alone:

http://ubuntuforums.org/showthread.php?p=12316911


Description:    Ubuntu 12.10
Release:        12.10


compiz:
  Installed: 1:0.9.8.4+bzr3407-0ubuntu1
  Candidate: 1:0.9.8.4+bzr3407-0ubuntu1
  Version table:
 *** 1:0.9.8.4+bzr3407-0ubuntu1 0
        500 http://no.archive.ubuntu.com/ubuntu/ quantal-proposed/main amd64 
Packages
        100 /var/lib/dpkg/status
     1:0.9.8.4-0ubuntu3 0
        500 http://no.archive.ubuntu.com/ubuntu/ quantal-updates/main amd64 
Packages
     1:0.9.8.4-0ubuntu2 0
        500 http://no.archive.ubuntu.com/ubuntu/ quantal/main amd64 Packages

$ apt-cache policy nvidia-current
nvidia-current:
  Installed: 304.51.really.304.43-0ubuntu1
  Candidate: 304.51.really.304.43-0ubuntu1
  Version table:
 *** 304.51.really.304.43-0ubuntu1 0
        500 http://no.archive.ubuntu.com/ubuntu/ quantal/restricted amd64 
Packages
        100 /var/lib/dpkg/status

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https://bugs.launchpad.net/bugs/1050166

Title:
  mouse pointer wraps around on first x screen instead of moving to 2nd
  x screen

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https://bugs.launchpad.net/ubuntu/+source/compiz/+bug/1050166/+subscriptions

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