LP_ASUSThank you for the picture, I can see what you mean. You can try a factory reset to see if that makes any changes to the camera behavior, but more than likely you would need to contact your local repair center. This seems to be a hardware issue...
I have this problem since I started using the phone. I have this problem without using camera . when I using camera , I have not any issue and camera will retract to the resting position .