I’ve found quite a few things talking about this in the Blighted Village, one of which was hidden pretty well. But I’m not getting any kind of journal entry about it, can’t talk to any NPCs about it, etc. It kinda feels like there should be something more here but it’s been cut or just very well hidden.
If you read an old school diary shadowheart reads it like she’s interested on knows something, but then its never followed up on.
…Is one of the missing children’s names
spoiler
Jenevelle Hallowleaf?
Because that would explain a lot.