Also the people who want to beable to kill the children are just overblown. Even if they were adult thieves, they wouldn't warrant execution for what they're doing in any kind of reasonable society.
The issue is you're not necessarily playing a reasonable person. Through your direct actions, you can get those kids killed via the goblin route. It just seems jarring that a psychotic villain won't lift a finger against the kids directly after they've stolen from them.