Celebrities Shamed for Partying After Whitney Houston's Death

(FOX News) - It was business as usual less than three hours after the sudden death of pop icon Whitney Houston at the Beverly Hilton Hotel Saturday, as hundreds of high-profile celebrities partied away at the annual Clive Davis Grammy party.

But in a suite just four floors above, police were conducting an investigation into the death of the Grammy-winning singer.

Stars who stayed at the shindig, which was re-branded from being a "party" to a tribute to the late Houston, are now taking fire for not immediately bowing out of the festivities.

Kim Kardashian -- whose ex-boyfriend Ray J was Houston's on-off beau -- was photographed smiling alongside the likes of Jane Fonda and Britney Spears, while Diana Ross and Barry Gordy hammed it up for the cameras.

But one entertainment insider slammed the decision not to cancel the party, telling FOXNews.com, "This wasn't a show that had to go on -- it was a party with entertainment."

The insider also expressed confusion as to why Davis, the record producer credited with discovering Houston, would not have pulled the party plug immediately.

There were several stars, including Taylor Swift, Sharon Osbourne and Miley Cyrus, who declined to attend any pre-Grammy party, out of respect for the woman who was deemed one of the biggest industry icons.

But PR and media expert Gene Grabowski of Levick Strategic Communications, said the celebs at the Grammy Party shouldn't be faulted for continuing with the event during the police investigation.

"I'm sure most of them who knew Whitney would say that she would have wanted them to continue," he said, adding that the partygoers could have portrayed "a more somber and respectful picture of themselves."

By Sunday afternoon, when the Grammy ceremony began at the Staples Center in Los Angeles, stars seemed at a loss for how to respond to the news.

One recording academy employee addressed the audience just prior to the live telecast, acknowledging Houston's death but also noting that it wasn't something they wanted to "over do."

Grammys host LL Cool J eloquently cut straight to the point, starting the awards ceremony with a prayer before even welcoming the audience.

But it was Jennifer Hudson who really brought the house down with an emotional rendition of "I Will Always Love You."

Hudson seemed very shaken and upset during her last-minute rehearsal set on Sunday morning, and her solemn tone continued through her stunning performance.

Read more: FOX News