Gardai launched a major search after he unexpectedly collected the children from school an hour after dropping them there.
After leaving the school the man drove to Ashford where he switched cars to a dark blue Nissan Almera which he borrowed.
Gardai launched a search operation and issued a public appeal for help, asking the public not to approach the driver but to immediately contact Wicklow or any other garda station, or telephone the 999 emergency number instead.
A description of the driver and the registration number of the vehicle were also issued, while roadblocks were set up and the air support unit was also called.
As gardai stepped up their search, one of their patrol crews spotted the Almera on the N11 near Rathnew village and went in pursuit of the car.
The car left the N11 on the slip-way at the Ballinabarney junction, south of Rathnew where the driver lost control of the vehicle, collided with a road sign, before coming to a halt on a roundabout.
The children were described as being shaken after the incident but recived no injuries.
The children's father was taken to Wicklow garda station and detained under the Mental Health Act.