All theatre has truth, from Theatre in Education to panto to Shakespeare.
You wouldn't get rid of the Mona Lisa just because someone painted another picture of a woman smiling.
Goodness transcends badness.
The idea with theatre is to come to an environment that you enjoy.
There is of course a dark side to panto because there are always baddies and you can't have a baddie without a dark side. But most of the time the baddies become good.
People love the traditional pantomimes and I don't think we need to disregard that tradition.