The poster, which was put up at Sena Bhawan in Dadar by the party's East Mumbai unit, shows Modi bowing reverentially before Thackeray.
The lines accompanying the photo say: "(Have you) forgotten the days when your (now) proud necks bowed on the feet of late Balasaheb?"
Meanwhile, BMC sources said the poster has now been removed.
Sena has had blow hot and cold ties with BJP from the time the two parties went through a bitter separation before the Maharashtra Assembly polls and then formed an uneasy alliance after the results were declared. The alliance partners have clashed on a slew of issues, ranging from a nuclear plant in Jaitapur to the distribution of portfolios.
Sena forcing the cancellation of Pakistani ghazal singer Ghulam Ali's concerts in Pune and Mumbai, and the recent paint attack on Sudheendra Kulkarni, a former BJP member, has been seen as further widening the chasm between the Hindutva allies.
Mumbai Police brought down the hoardings in a bid to prevent clashes between the Sena and the Bharatiya Janata Party (BJP), which are in a coalition government in Maharashtra but whose ties have worsened in recent times.
The hoardings came up on the eve of the Sena's annual Dussehra rally, and ahead of the first anniversary of the coalition government.
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