Windows Vista did something similar to support both panning and selecting with touch screens.*
A vertical drag would pan the content, and a horizontal drag would act like a mouse: select or drag-drop the content. http://youtu.be/roP3YtLvblE?t=2m22s
I thought it worked well, even though it made horizontal scrolling harder (had to use 2 fingers).
Windows 8 uses tap-drag for selection instead. http://www.microsoft.com/surface/en-us/support/touch-mouse-a...
(* I worked on this feature at MS back in the day)