Googling for a bit brought up
https://launchpad.net/ubuntu/+source....15/+bug/23346 which suggests disabling the EHCI driver, and/or disabling a jumper on the drive.
Personally, I would perhaps rather forgo Compiz than downgrade to an earlier version of Ubuntu. In fact, I have disabled Compiz on many of my machines -- I guess it's not really mature yet, as it interferes with all kinds of unrelated functionality (prevented me from suspending my laptop, in Ubuntu 7.10, for example).
To disable Compiz, go into System -> Preferences -> Appearance -> Visual Effects tab and select None.
(This will also change your window manager from Compiz to Metacity, so if you have customized keyboard shortcuts etc. in Compiz, you will have to redo those customizations.)