The state Censor board served a notice to Jalan Distributors to display the posters only after painting the bare back of the actress, as displayed in one of the posters, with blue paints.
The distributors moved the Calcutta High Court challenging the directions.
However, Justice Dipankar Dutta refused to pose a stay on the order of the censor board.
The Censor board banned two posters of 'Hate Story' where in one poster Paoli is showing her bare back while in the other she was seen in a compromising position with a man.
The board cleared the other six posters only after the bare body of the actress was painted in blue.
Interestingly, Paoli hails from Tollywood (Bengali film industry) and she is all set to make her B-town debut with 'Hate Story', which is being promoted as the first onscreen erotica of India.
The 'bongshell' is playing a reporter who becomes a victim of forced abortion and later turns into a prostitute to take revenge on the man who ruined her life.
'Hate Story' hits the silver screen on April 20.