Please try the following:
1 - Add an Edit Poly modifier just above the RC Object
2 - Disable the top Volume Select modifier
3 - Enable the bottom Volume Select and Displace Modifiers.
4 - Delete the existing Morph target and recapture the current state. Set the Morph amount to 100%
5 - Disable the Displace and first Vol. Select modifiers. Make sure you leave the Edit Poly modifier enabled.
6 - Enable to top volume select modifier.
That seems to fix it here. Let me know if it works for you too.