When recording a test handling RadAsync upload it creates two steps, one RadAsyncUpload step and one Handle FileUpload dialog, however the file upload path in the RadAsyncUpload is left empty which fails the test on execution with a timeout. In order to get it work you should get rid of the HandleFileUpload step and fill the fileupload path in the RadAsyncUpload step.

You can use this URL for repro: http://demos.telerik.com/aspnet-ajax/asyncupload/examples/overview/defaultcs.aspx