Setting Transparency to 1.0 is correrct. But also set the Transparency Edge to 1.0 instead of 0.0 and Transparency Falloff to 0.6 instead of 0.0. I find if these two values are left at 0.0 you tend to get "ghosts". Could you also show the transmap? It should be completely black for the invisible part. If you have any grey in it, that could also create the effect we are seeing. I am also wondering if the Turbulence attached to the Bump channel could be causing this problem. Do you really need the turbulance? Try getting rid of it and see if that helps.