A travel agency owned by a woman shown attempting to pull down her neighbour's Aboriginal flag in a viral video has been removed from a national group representing independent businesses a day after a McDonald's spokesperson said the company has taken over operation of two franchises reportedly owned by her husband.

The video, posted to social media on Saturday, showed Mildura residents Karen Ridge and Rob Vigors confronting an Aboriginal family in their home, questioning their Indigeneity and attempting to pull down the family's flag.

The woman, identified only as Karen in the video, can be heard saying "take this s**t down, it's a disgrace" in reference to the Aboriginal flag.

Read more at NITV: Family thank supporters in wake of racist attack

"Pull your f**ing flag down," she continued. "Go and live in your f**ing humpy down the river".

In a statement on Monday afternoon, Express Travel Group - which represents the largest group of "fully independent" travel agencies in Australia, according to their website - said they would be terminating the membership of Ms Ridge's company, Mildura Travel & Cruise, with immediate effect.

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"We are deeply disturbed by the comments made by the owners of Mildura Travel & Cruise who are an independently owned travel business and also hold a membership with the Express Travel Group," the statement read.

"In light of these events, membership of Mildura Travel & Cruise has been terminated with immediate effect."

The statement comes a day after McDonald's announced they would be taking control of two northwest Victorian locations of the fast-food chain, Mildura and Irymple, previously operated by Mr Vigors.

READ MORE McDonald's dumps franchisee after Aboriginal flag row goes viral

Speaking to SBS News on Sunday, a McDonald's spokesperson confirmed that Mr Vigors was no longer involved with the company and condemned the comments as "unacceptable".

“The comments made are unacceptable and do not reflect the beliefs of the company as an inclusive workplace for our employees and customers. The matter is currently under investigation,” the spokesperson said.

The subject of the couple's rant, Robby Wirramanda-Knight, told NITV his family was thankful for the outpouring of community support.

"It's really sad that we've become accustomed to this type of behaviour. It is not okay to live in a rich area if you are a black family, that is disturbing. It's not okay to drive a nice car if you're a black man or black woman," he said.

Statement from my mum pic.twitter.com/GZMZ8T3HCB — Beautifuldeadly Decolonisation (@toostrong4karen) December 14, 2019

Mildura Travel & Cruises confirmed to SBS News via Facebook that they had been removed from the group and were temporarily closed, adding that the video only showed "one side of the story".

Speaking to the Daily Mail on Sunday, Ms Ridge reportedly said she did not feel safe giving her side of the story to the media and alleged she had received death threats since the video went viral.

A Victoria Police investigation into the incident depicted in the video is ongoing.

"Mildura police have interviewed both parties in the matter and no charges have been laid at this stage, pending further investigations," a police spokesperson told SBS News on Tuesday.