ffs man, go round to the kids parents and speak to them,explain the situation,say how sorry you are and that maybe some paper boy left the gate open,offer to buy the kid a new set of nike bottoms or sommat for his trouble and promise you wont let it happen again,

or are you afraid that the dog may nip your kids? if this is the case then do as Ima says(THE FIRST TIME IMA HAS SAID ANYTHING DECENT....WELL DONE IMA )
I have a rotty and if your was a pup i would have it off you but its a bit old for me,sorry,
forget the rest of the street and what they think,at least you know they will always ring you before coming round the house