Instead of thousand words - http://dojo.telerik.com/aQUkU
After click on button, error "Uncaught TypeError: Cannot read property 'options' of null" raises.
But it works with Kendo 2015 Q1 SP2.
Thank you for the details. We were able to reproduce the issue and logged it in our open-source repository. You can keep track on the progress here:
We will do our best to address it as soon as possible.