The billboard - which features a painting of a naked woman - is the subject of a complaint lodged with the Advertising Standards Bureau recently.

City of Ballarat city marketing and business development director George Sossi described the graffiti as "outright vandalism".

"From our perspective, it's straight out vandalism - it's destroying community infrastructure," Mr Sossi said.

A council works team removed the graffiti yesterday morning.

The attack has not been reported to police.

The complaint will go before an ASB board meeting next month.