Cannot chose category if permission is read only in parent as moderator

I have moderators allowed to create new categories.
The moderator cannot chose a category as parent if its parent permission is set to “See”.
It does not show up in its parent category drop down list.

Steps to reproduce:
Activate the option Allow moderators to create new categories
Login as a user with moderator permissions (no Admin permissions).
Create a test1 category with “See” permission for a group assigned to this user.
Create a test2 category and try to assign it as sub category of test1.

Same problem with the drop down box in “New Topic”, you cannot chose a sub category if the parent category was created by a moderator with “See” permission only.

Now it’s fixed by the above commit.

If a parent category has “See” only permission then its subcategories also will have the “See” only permission right? Then how you can choose the subcategory in “New Topic” composer?