This is a rush transcript from "On the Record," May 12, 2009. This copy may not be in its final form and may be updated.

GRETA VAN SUSTEREN, FOX NEWS HOST: Joining us live is Miss California Teen USA, Chelsea Gilligan. She's friends with Carrie, and they were crowned at the same time. Welcome to the show. And tell me, how is it that you were crowned at the same time? Are there two pageants that went on at the same time?

CHELSEA GILLIGAN, MISS CALIFORNIA TEEN USA: Yes. Hello, Greta. How are you? I love your show. I absolutely love it.

VAN SUSTEREN: Thank you.

GILLIGAN: But yes, we were -- you're welcome. Yes, there's the pageant -- there's two pageants in one night, the Miss California Teen USA, then the Miss California USA. And we go back and forth between top 15, top 10, top 6. And then we're both crowned. So it's really -- it's a really fun event.

VAN SUSTEREN: Were you there when she was asked that question by Perez Hilton?

GILLIGAN: I was there. I was in the audience. And I was there to support her and give him, you know, love and attention. And I was there for her, so I was really happy to be there at that pageant.

VAN SUSTEREN: What did you think when she got asked that question, when it was first asked by Perez Hilton, and then she answered it?

GILLIGAN: What I think -- well, the questions that they're asked -- you know, they're are all about politics and the world and how they feel. And I feel that it was a very fair question. A lot of the girls were asked questions out of the ordinary, kind of to get them out of their comfort zone. And I feel that, you know, it was a very good question to be asked.

VAN SUSTEREN: Now, I know you must -- you've certainly followed this controversy closely. You've got the question and you've got the pictures. Do you think that she was getting all the heat for both, or for simply the substance of the question and how she answered it? Why do you think she's taken so much heat?

GILLIGAN: Oh, well, that was a very controversial question, and regardless of whether you answer it one way or the other, it's going to cause some controversy. And you know, people can agree to disagree. And whether or not they agree with her, that's their own opinion. And I believe it's up to that person whether to agree with her or not.

VAN SUSTEREN: Is the difference between your pageant and her pageant simply really one of age, that you're younger and it's just a -- because you -- are you a teenager? I take it Miss California Teen means you are a teenager?

GILLIGAN: Yes, I'm a teenager. Yes.

VAN SUSTEREN: All right. What are your responsibilities? What are you going to do now that you're Miss California Teen?

GILLIGAN: Well, you go to appearances. You go to charity events. I'm very happy to -- I've been working with the Beauty of California organization, and we just did a PSA recently and we're just promoting the diversity of California and how beautiful we are and how you can go -- you know, 30 minutes off (ph), you can go to Palm Springs, then you go to -- then you can go to the mountains and the ocean. And we live in such a diverse state that we might be different, but we can all come together to agree to disagree. And I'm just happy to prepare for the Miss Teen USA pageant July 31 in the Bahamas. And I'm just really, really excited to represent the state of California.

VAN SUSTEREN: Have you spoken to Miss California today, since she -- at least -- she's going to retain her crown, obviously. Have you spoken to her?

GILLIGAN: No, I haven't, unfortunately, spoken to her. But I love her and I cannot wait to talk to her and I'm really in full support of what she does, so -- I can't wait to talk to her. I love her. She was one of my best friends. I won with her that night. She's my pageant sister. I consider her one of my big sisters. So I can't wait to talk to her.

VAN SUSTEREN: What do you think about Donald Trump?

GILLIGAN: I love Mr. Trump! He's such an intelligent, wise man. And I got to meet him at the Miss USA pageant and he is amazing. I love him. And I'm very excited about his allowing Carrie to keep her crown. I'm very happy that he did that, and I'm in full support of what the Miss Universe organization is doing.

VAN SUSTEREN: All right, run it past me one more time. What's the date of your next competition?

GILLIGAN: July 31, Miss Teen USA in the Bahamas.

VAN SUSTEREN: All right. Well, good luck on July 31.

GILLIGAN: Thank you.

VAN SUSTEREN: There's an awful big spotlight now on these pageants, so I'm sure we'll -- a lot of people will be watching. Good luck, Chelsea.

GILLIGAN: Yes. Thank you so much, Greta.





Content and Programming Copyright 2009 FOX News Network, LLC. ALL RIGHTS RESERVED. Transcription Copyright 2009 CQ Transcriptions, LLC, which takes sole responsibility for the accuracy of the transcription. ALL RIGHTS RESERVED. No license is granted to the user of this material except for the user's personal or internal use and, in such case, only one copy may be printed, nor shall user use any material for commercial purposes or in any fashion that may infringe upon FOX News Network, LLC'S and CQ Transcriptions, LLC's copyrights or other proprietary rights or interests in the material. This is not a legal transcript for purposes of litigation.