Swiss Guards Commander Elmar Theodore Maeder has denied reports that his attempts to stifle the corps' New Year celebrations caused unrest.
The colonel said the reports of friction in the ranks published by British daily The Independent were "all false".
The Independent quoted an anonymous Guard, who complained Maeder imposed a midnight curfew on festivities and confiscated 20 bottles of wine.
The source even suggested the commander then used the wine at his own private end-of-year bash.
"No orders were given for New Year's Eve, apart from the one extending the time of return to the barracks," Maeder said in a statement.
The commander threatened to take legal action against "those who have spread this false news that damages the good name of the Swiss Guards".
The world's smallest army celebrated its 500th anniversary in 2006.
The elite corps is famous for its distinctive yellow-and-blue uniform which, as the first official history of the Guards recently stressed, was not designed by Michelangelo, as widely believed.
The Guards get their recruits from a group of Swiss towns and villages which for centuries have provided the pope's personal corps.
During the Middle Ages and in Renaissance times, the Swiss had the reputation of being Europe's most reliable mercenaries - tough fighters who hardly ever changed sides.
They famously proved their worth during the Sack of Rome in 1527, when 147 Guards laid down their lives to protect Pope Clement VII from the rampaging army of Holy Roman Emperor Charles V.
The 110-strong Swiss Guards have strict recruitment terms.
Candidates have to be single males over the age of 18, at least 1.74m tall, and practising Catholics "of stainless character".
They also have to have completed their compulsory military service in Switzerland.
