The SphereProjector used for projecting mouse movement onto the spherical rotation of the rotation manipulator is sized too small compared to the object's surounding bounding box. The SphereProjector should include the rotation manipulators handle within its volume.
Desirred:
SphereProjector include BoundingBox and manipulator handles
Current:
SphereProjector smaller or equal than bounding box of object.
This bug is assumed to apply to all manipulators in general.