Prabha Thakur came to the Well during an animated debate on FDI in multi-brand retail and wept before leaving the House in a huff.
She was upset over a remark by Naidu, which was immediately expunged by the Deputy Chairman P J Kurien.
The remark had triggered a clash between Naidu and members from the treasury benches, prompting the Chair to adjourn the House for a brief period of 10 minutes.
As soon as the House re-assembled, Thakur was seen in the Well with tears. Her party colleagues were meanwhile shouting against Naidu over the remark saying, "We want justice."
Naidu was unapologetic at that time saying that he had not made any "derogatory" remarks against any member and wanted the records to be checked.
Kurien said he has already expunged the word from the proceedings and would take action if any unparliamentary word was used.
When Congress members insisted that action be taken against such remark, Naidu said he would not succumb to any "bullying."
At that moment, Thakur left the House, while Naidu continued his debate. Minutes later, he expressed regret.
"If the member Prabha Thakur is upset over my remarks, which have hurt her, I express my regret. It was not deliberate," he said.
Kurien praised Naidu for this. "I applaud the member. This should be the attitude," he said while noting that there were no rules whereby the Chair could direct any member to apologise.