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Rape and sexual assault services Highland and Rape Crisis Scotland said the committee’s decision sent a “harmful message” about women’s safety.
Police Scotland objected to the continuation of Brown’s operator’s licence.
The House Licensing Committee, which discussed the matter privately, has the options of voting to take no action, suspend or revoke the license.
Grafton and Highland Alliance councilor Macpherson told BBC Scotland News that councilors voted based on information presented to them at the meeting.
McPherson said Brown has been assured by authorities that he will not be allowed to drive a taxi again.
In a statement, he said: “Speaking as a father of a daughter and as a brother to three sisters and as a grandfather, I am concerned that the decision I made at the committee posed a risk or threat to the safety of Highland women.
“I will never be involved in anything that harms the safety of women and girls and I honestly do not believe that I have done so in this case.
“I can’t bear the fear that even women and women’s safety will be seen as distorted, and that’s why I’m resigning.”
McPherson said the case was discussed confidentially to “protect the identity of the victims”.