Update on my findings:

There are 2 versions of Ubuntu 16.04 LTS to date: 
1. Ubuntu 16.04.1 LTS (Released on 21st Jul 2016)
2. Ubuntu 16.04.2 LTS (Released on 16th Feb 2017)


Temporary Solution that worked on my system:

Ubuntu 16.04.1 --- refer to to comment 13.
https://bugs.launchpad.net/ubuntu/+source/nvidia-graphics-
drivers-375/+bug/1667158/comments/13

Ubuntu 16.04.2 --- After waking from suspend, manually issue this
command in a terminal: compriz --replace &

If you found a way to automate the tmp solution for Ubuntu 16.04.2 or
have a better solution, pls share. Appreciate.

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https://bugs.launchpad.net/bugs/1667158

Title:
  Regression: Borders of windows and desktop background are displayed
  badly after suspend/resume

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