The Royal family moved to block the publication of photographs depicting Prince Harry cavorting naked in a Las Vegas hotel room while playing strip billiards, on Wednesday night.
A St James' Palace spokesman confirmed that it had contacted the Press Complaints Commission about the images, which were published on a US celebrity website and widely circulated online.
The two pictures, taken on a mobile phone in a hotel suite, were taken by a fellow reveller, and sold it for an estimated 10,000 pounds.
In the pictures, the 27-year-old Royal is seen wearing nothing but a watch and a distinctive necklace as he embraced a naked young woman who clutching a pool cue during a game of "strip billiards".
According to the palace, publication of the images, taken in a high rollers suite at the Wynn and Encore hotel complex costing up to 5,000 pounds a night, would be a breach of the prince's privacy.
The spokesman declined to say whether or not the prince, who was on a private holiday with friends, paid for the suite himself or accepted the hotel's hospitality, the Telegraph reported.
The holiday had raised serious questions about the Prince Harry's judgment and ability to represent the Queen as a senior royal statesman.
It is understood that his protection officers were present in the hotel suite during Friday night's party but the incident fuelled debate about whether or not they should be expected to step in unless his life is at risk.
The prince is expected to receive a dressing down from the military when he returns to his Army base in Wattisham in Suffolk within the coming days.
Military codes of conduct warn officers that the must maintain high standards of professionalism "both on and off operations" and experts said he would likely be censured.
According to a former instructor at the Royal Military Academy Sandhurst, the Prince is most likely to face an "interview without coffee" once he returns. (ANI)