ITEM 1.03. BANKRUPTCY OR RECEIVERSHIP.

On June 3, 2009, Nestor, Inc., a Delaware corporation (together with its subsidiaries, the "Registrant"), and its subsidiary Nestor Traffic Systems, Inc. filed a Petition for the Appointment of a Receiver with the Rhode Island Superior Court (the "Petition"). As a result of the Petition, the Rhode Island Superior Court entered an Order Appointing Temporary Receiver (the "Order"). Attorney Jonathan N. Savage of the firm Shechtman, Halperin and Savage, LLP was appointed as the Temporary Receiver. On June 4, 2009, the Registrant and Nestor Traffic Systems, Inc. issued a Press Release regarding the Petition and Order (a copy of which is attached hereto as Exhibit 99.1).

ITEM 9.01. FINANCIAL STATEMENTS AND EXHIBITS

(d) Exhibits

Exhibit No. Exhibit

99.1 Press Release