"Me too" on this situation. Clean installation of the latest Gutsy, with
all updates applied.

My fix has been to disable the ntp daemon startup in the ntp scripts,
and have the daemon started through an if-up.d script, which simply
sends a 'start' signal to /etc/init.d/ntp. This is workable, although I
haven't tested how it will work if link goes down. If I understand
things correctly, the if-up.d script should fail semi-gracefully when
the link comes back up, and ntp should be able to engage in
synchronization activities again.

>From what I can tell, installing the NTP service (instead of using
ntpdate, which is the default) actually *disables* time sync via NTP in
Gutsy, because of the race conditions created.

Part of the problem is the NTP server's behavior, but it seems to be
mostly a problem with how Network Manager communicates link status to
other services. I may be wrong, but it seems that services started from
the /etc/rc*.d/ directories have no way of knowing the status of links
that are brought up via Network Manager, outside of checking a flag set
by an if-up.d script (this strikes me as a bit of a hack).

-- 
network-manager stops and restarts already ifup'ed interfaces
https://bugs.launchpad.net/bugs/90267
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