Squeeze sausage from casings and brown in hot skillet. Break up any larger chunks. Drain and cool.
Rinse and drain sauerkraut well. Press out as much liquid as possible. Chop up and add to sausage meat along with Dijon, cream cheese, parsley, salt and pepper.
Chill mixture at least an hour before rolling into balls for best results. Can be chilled over night.
Roll into uniformly sized balls.
Arrange coatings in 3 shallow bowls. Add flour to first bowl, then eggs thinned with water in second, then breadcrumbs in third. Season flour with salt and pepper.
Dredge balls in flour, then egg, shaking off excess, then breadcrumbs.
Place on baking sheet covered with parchment paper without crowding.
Heat oil in deep fryer to 350°. Fry balls until well browned and crispy. Drain well.
Make dipping sauce by combining all ingredients. Serve Sauerkraut balls warm with dipping sauce.
If baking, instead of 3 part dredging, simply roll balls in panko, arrange on baking sheet and bake on convection setting at 425° for 15 minutes.