'Permit Patty' resigns as CEO of cannabis company following viral video backlash

Ashley May | USA TODAY

Show Caption Hide Caption 'Permit Patty' stepping down as CEO of cannabis company "Permit Patty" has reportedly resigned from her job at the cannabis company she founded amid outcry for calling police on a girl selling water. Nathan Rousseau Smith has the story.

"Permit Patty," a white woman who went viral for appearing to call the police on an 8-year-old black girl selling water without a permit, has resigned from her job at a California cannabis company.

Alison Ettel left her position as chief executive of TreatWell Health, the firm's spokesperson Cynthia Gonzalez said Tuesday. She described Ettel as an "incredible asset" to the company.

"This decision, while not an easy one, is in the best interest of their patients," Gonzalez said in a statement. "It is Ms. Ettel’s belief that TreatWell, its employees, and patients should not have to suffer because of a situation that occurred in an escalated moment. And she regrets her part and is remorseful."

The decision comes after Several Bay Area marijuana dispensaries said they will no longer carry TreatWell Health products because of Ettel's recent actions, the San Francisco Chronicle reports.

In a video that has since gone viral, Ettel appears to be on the phone with police, charging that the little girl was “illegally selling water without a permit.”

“An 8-year-old selling water in front of her apartment building where she’s lived her whole life is NOT a reason to call the police,” Erin Austin, the child's mother, posted on Instagram.

Ettel, who has denied the incident was motivated by racism, told CNN she called 911, because the child was constantly yelling.

"I did call the police, but not on anybody," Ettel told CNN. "I said I'd like to talk with someone about if something is legal or not. I said I am not doing a report, and I am not asking for any dispatch. I just want information. I asked, is this legal? She said 'no.'"

Austin said Ettel immediately confronted her about a permit, and did not mention a concern with noise. Austin told All the Moms she recently lost her job and her daughter Jordan was trying to raise money because she wanted to go to Disneyland.

Robert Ruecam, a spokesman for the San Francisco Police Department, told NBC News that no complaint was made regarding the incident.

More: Today's talker: Permit laws can sanction harassment of 8-year-olds