>>>>I found this question https://stackoverflow.com/questions/17529559/angularjs-ng-grid-updating-array-with-splice-doesnt-updates-ui which perhaps is relevant to my case.
>>>>
>>>>Unfortunately, I can not check if it's relevant or not as we only have ng-grid.min.js in our project. I am not exactly sure where to try implementing the copy solution suggested in the second answer.
>>>
>>>You could try:

var pagedData = angular.copy(data.slice((page - 1) * pageSize, page * pageSize));

>>>
>>>
>>>>BTW, I posted all the code which I currently have in that controller (aside from the few irrelevant methods). May be you can spot the problem right away.
>>
>>Ok, weird thing. After I believe that change worked fine, I downloaded the latest ng-grid using nuget. I applied the fix suggested in that thread (I only found one place where this code was called).
>>
>>It stopped working again :(
>>
>>I then re-applied your suggested fix which seemed to fix the problem originally. It didn't fix it this time and I again see the same exact problem :(
>>
>>This is getting extremely frustrating :(
>
>Can you post the change you made to the grid js ?
>(Won't get time to look at it now tho - it's pub time here :-})

The fix I made in the version

/***********************************************
* ng-grid JavaScript Library
* Authors: https://github.com/angular-ui/ng-grid/blob/master/README.md 
* License: MIT (http://www.opensource.org/licenses/mit-license.php)
* Compiled At: 08/04/2014 16:09
***********************************************

here

$scope.$on('$destroy', $scope.$parent.$watch(options.data, dataWatcher, true));

I added the last parameter true as suggested in the
https://stackoverflow.com/questions/17529559/angularjs-ng-grid-updating-array-with-splice-doesnt-updates-ui

This didn't help and re-applying your original fix in SetPagingData also didn't help.