We already answered your support thread and for your convenience we pasted our reply below:
Thank you for the provided code - I pasted it in a new page, added a reference to the latest version of the Telerik.Web.UI.dll (version 2008.2.1001.20), and then ran the project. But the result I got, was the expected one - please find a screenshot of that result.
I did however get a js error as soon as I tried to drag a dragHandle - we are aware of this problem and we have already fixed it. The fix will be available with the Futures release that will be available for download next week.
In case you have a different problem, please prepare and send us a simple running project, demonstrating it, so that we can research what is causing it.
the Telerik team
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