with track changes on , backspace between two paragraphs deletes extra char

[nadeemamin]

open http://www.loopindex.com/lite/test/?v=dev
update source with the following text

hello world 1

hello world 2

hello world 3

and click on source again to go back to edit screen.
now click on 2nd para first char. and press backspace
it deletes 1 besides deleting the para tag. it should similarly merge the two paras