Figured this would generate some discussion.
My response to the person who asked me about what should have been done...penalize in the order of occurrence.
That means you shoot the FTs for T, then you shoot the FTs for the shooting foul with the players on the lane and resume after those FTs as in any other shooting foul.
The subsequent personal foul eliminates the possession element of a T. This is not unlike a series of technical fouls that are not double fouls. All the FTs are shot, but possession at the end is determined by the last foul to have occurred. Alternately, this is not unlike a personal foul that occurs during the throwin for a T. The throwin is abandoned and the personal foul is penalized.
There is no need for a case play here, applying the penalties (in their entirety) in the order of occurrence is an NFHS rules fundamental.