Roland, David,
Thank you very much for your responses. I did read up on the collapse transformations and removed the adjustment layer as Roland suggested. Unfortunately this did not solve the artifacts that I saw and continued experimentation. Turns out it is not the mask showing through: instead of using mask and feather to apply the fast blur, I used a B/W ramp and matte to blur the edge of the image. It seems that there is some kind of interference of the echo effect with the blur, showing a distinct line unexpectedly on the top image. When I find the time I can post some examples – I am still confused on what is happening there.
For now, I will try the Time Blend FX option as suggested by David to see if I can get better results.
Again, thanks for your time – I learned something new once more.
A.