Canadian soldiers involved in the shooting deaths of two Afghan children near Kandahar in July did nothing wrong and followed proper procedures in the incident, a military police investigation has found.

The children were travelling in a vehicle in Panjwaii district that approached a Canadian patrol and ignored repeated warnings to stop, a statement from the Canadian military said.

One round from a 25mm cannon was fired into the vehicle, killing the two youngsters.

The military statement said soldiers in the convoy "followed proper escalation of force procedures and acted within the rules of engagement" for the Canadian mission.

Canada's top soldier in Afghanistan, Brig-Gen. Denis Thompson, said he "deeply regrets the accidental death of these two Afghan children. Our thoughts continue to be with the family of the deceased during this difficult time."

The military statement said Canadian and NATO forces in Afghanistan continually review procedures to find a way to avoid accidentally harming civilians, but troops are authorized to take action when they believe their lives are being threatened.

Drivers of civilian vehicles are required to keep a safe distance from military convoys, the statement said and the public is kept informed about this through public service announcements and advertising campaigns.

Afghan police are also investigating the shooting.

Taliban force father to flee

The deceased children have been identified as four-year-old Maraka and two-year-old Tor Jan, daughter and son of 31-year-old labourer Ruzi Mohammed, who was wounded in the incident.

On Monday, Mohammed said he'd been forced to flee his home in the Panjwaii district after Taliban threats.

He said he'd been threatened after speaking with Afghan president Hamid Karzai and Canadian officials about compensation for the death of his children.

Mohammed is now living in Kandahar city and said he's still waiting for most of the money that he's been promised by the Canadian military.

"If Canadians will not support me now, I am compelled to join the Taliban and take revenge for my two innocent children," he told the Canadian Press.

A military spokesman, Maj. Jay Janzen, said Mohammed had received some of the compensation money and the rest would be given to him in a matter of weeks.

Handing a large sum of money over to the bereaved Afghan father would be a danger to him, Janzen said.

"We don't want a situation where we give a local Afghan a huge amount of cash and send him on his way," Janzen said, noting that the military does not release details about the amount of any compensation they pay.

With files from the Canadian Press