@joshu aghora (josh-gura)
Well it seems that the Ubuntu Gnome team has no plans to fix this for 16.04 
LTS. 

You can either add the Gnome Team staging :ppa from Launchpad and
upgrade Gnome to 3.20 (not ideal, because it might break the system) or
move to another distro.

I am still running the same Ubuntu Gnome 16.04 installation that I had
when I reported this bug 7 months ago and I've learnt to live with it.
But it's still very annoying and I am considering switching to Open Suse
Leap with Gnome 3.20 because of this bug and other problems that I am
currently having with Ubuntu Gnome.

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https://bugs.launchpad.net/bugs/1301083

Title:
  Drag and Drop File Auto Opens Folders

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