It seems that the control exposes an 'OnClientItemClicked' event handler and can be implemented like this:
<script>
function OnClientItemClicked(sender, args)
{
alert("The " + args.get_item().get_text() + " item has been clicked");
}
</script>
<telerik:RadPanelBar ID="RadPanelBar1" runat="server" OnClientItemClicked="OnClientItemClicked" >
...
</telerik:RadPanelBar>
As far as storing the onClick event in the XML, you may want to get a little creative. Instead of storing the onClick event, you can store a custom attribute which then you can later retrieve in the OnClientItemClicked event:
<script>
function OnClientItemClicked(sender, args)
{
var item = args.get_item();
var myCustomAttribute = item.get_attributes().getAttribute("myCustomAttribute");
}
</script>
... if your XML was structured like this:
<Item Text="Products" Expanded="True" myCustomAttribute="1">
<Item Text="RadEditor" myCustomAttribute="2" />
<Item Text="RadPanelBar" myCustomAttribute="3" />
<Item Text="RadMenu" myCustomAttribute="4" />
<Item Text="RadTabStrip" myCustomAttribute="5" />
</Item>
Additionally, here is Telerik's (awesome) documentation:
http://www.telerik.com/help/aspnet-ajax/panel%5Fclientsidebasics.html
I hope I answered your question! Cheers :D