The woman, Sonali Shetty, had called the police last night when she sat outside the restaurant for a protest.
When police reached the spot, she complaint that the restaurant owner's relative and staff members had misbehaved with her and the children and also threatened them, a senior police official said.
"We are investigating the matter thoroughly but no case has been registered yet," the official said.
"I went there at around 4 pm with the children but we were again denied entry to which I took the children to a nearby food outlet and fed them."
She also said "I have already given a written complaint to the police in this regard".
The woman had yesterday taken some street children for a lunch to the restaurant for a lunch on the occasion of her husband's birthday. But, they were allegedly denied service by the staff of the eatery.
Roma Malhotra, PR of Shiv Sagar restaurant, said she will not say anything alleging that media is not reporting their version properly.
Sonali's husband serves in the Indian army and she is a writer.
