The kids maybe bastards, but seriously what that parent did he should fucking beat for that.

Taking away Christmas like that is totally chickenshit and will just prime the three up for revenge. If I ever had that pulled on me I would not have tolerated it and kept up the behavior much longer than the being bored period at home between school. He went too far, but I agree the kids are assholes and should be punished. Personally I would have let them have those gifts, but not let them open them for a week. And if they acted up at all during that week, tack on another. It would hurt much more knowing you still had it and couldn't have it, than being an asshole(the parent) and flashing the items and selling them off right after. That's just stupid and vindictive and will get it in kind.