It seems to "work" in 1.4.1, but not as well as it was in 1.3.1. For instance, the trail persists after the stock re-entry effect has stopped, and continues to exist, even when the craft is landed. Also happened when I EVA'd a Kerbal from a craft I'd forgotten to put a parachute on to test the new personal parachute. Landed just fine, but the trail still persisted on the ground. I wasn't able to recover the Kerbal as apparently it was still on a ladder, but that's a different issue.