"The kids were playing on the playground and they spotted them ... they wanted to go up to them but they were quite shy."
She said the children eventually grabbed paper and pen from the car, and approached the pair for their autographs.
"I thought that would be cool for them, [the children] seemed so excited about meeting them.
"They went back over to where they were sitting and then the next thing we know, Natalia Kills is marching all the kids back to us and she just flipped her lid yelling, 'I'm in my bikini, I'm not wearing anything, I'm with my husband'."
Ms Hutson said she told Kills they were also in their swimwear, and asked what her problem was.
"I think she thought they were taking photos of her, they just happened to have the phone ... they were just wandering around with a phone playing with it or just listening to music or something.
"She was just really, really rude and quite aggressive. She hadn't actually said to the kids herself, 'We are having private time, can you go away now'."
She said the situation escalated quickly and Kills was so rude, one of the children from England was "nearly in tears".
"It was such a bad experience for them really in the end. They were not very nice... this is what you have to bear in mind, if you ever get famous you don't want to carry on like that."
Kills and Moon have left the country after being axed as judges on The X Factor NZ, following a tirade at contestant Joe Irvine during Sunday night's live show.
Read more: X Factor UK judge slams Natalia Kills: 'She'll never work again'