John Prescott might have escaped action over breaking ministerial rules, but now Blair is under pressure to give up power for regulating ministerial behavior.
The Standards and Privileges Committee found that Prescott indeed broke ministerial rules by failing to immediately declare his stay at the ranch of a prominent businessman bidding to open a super- casino at the Millennium Dome in London.
The findings have been enough to prompt the committee to recommend a second time for Blair to launch an independent inquiry on his minister as Downing Street is the only avenue for policing ministerial rules.
Blair has rejected the call for investigation a second time as well, and No. 10 treats the matter as "closed".
"The problem has been resolved because the Deputy Prime Minister has now registered both the stay and the gifts and he has set about improving the procedure for registering gifts in his department," said a spokeswoman for Blair.
The outright refusal was condemned by political opponents and anti-sleaze monitors.
Shadow Culture Secretary Hugo Swire, whose complaint set the ball in motion, said it was clear that both Prescott and the committee believed that there has been a breach in the Ministerial Code.
"According to the report, even Mr Prescott now accepts that there was a perceived conflict of interest," he said.