Though Whitney Houston died on Saturday, her mentor Clive Davis still went ahead with his annual pre-Grammys party that night in the Beverly Hilton, the same hotel that Houston perished in hours before. "I thought that was complete insanity," Houston's longtime friend Chaka Khan now tells CNN's Piers Morgan. Khan was one of the few celebrities to back out of the party, "And knowing Whitney I don't think that she would've said, 'The show must go on.' She's the kind of woman who would've said, 'Stop everything! I'm not going to be there.' I don't know what could motivate a person to have a party in the building where the person whose life he had influenced so enormously [had died]. And whose life has been affected by hers ... I don't understand how that party went on." Adds Khan, "Whoever flew her out to perform at that party should've provided someone to be there to somehow keep the riff-raff from out of the situation, to keep some of the dangerous people away."