First I am so so sorry that this happened to you. Where do you live? Each state is different as far as pits go. For example I live in Ohio an the actual state has a law on pits plus individual cities. Most people would say that you were crazy for spending that much money on a dog. I completely understand how you feel though they are like children to us pit lovers and we would do anything for them. I am not into law enforcement or government but I would say they are abusing you and from the sounds of it you are from the UK? Meaning that people in this country will walk all over outsiders because they think you are stupid and don’t know any better. So they can get by with making you do all those things. If you weren’t breaking any laws to begin with then hell yeah fight. It is your right as a US citizen to stand up to bullies in our crapy government. Gather your facts and your evidence from the neighbors to the person who was watching the dog. If the other dog was taken to the vet then maybe there is pictures to prove that dog was fine. If you have things like that to back you up there’s nothing they can say.