Please find attached a sample project that implements the desired functionality and it works find under IE browsers ( including IE10). Please note that a common mistake is to drag and drop file from file browser dialog. The file browser dialog is shown when user clicks on "Select" button next to the input element. File Upload with Drag and Drop
works only if you drag and drop from already opened a folder with the windows explorer. If you click the "Select" button and drag and drop a file from the opened file browser dialog it will not work as you expect. The file browser dialog window is used only to select a file , but not for dragging and dropping. The attached project alerts with the $telerik.isIE10Mode
value when drag a file over the drop zone as shown in this video
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