This is since version .18 came out.
On previous versions, there was a little "bug" that would allow characters going below the forest path, using a "hole" at that point.
Someone wanted to solve that, and touched the maps a bit, so they "embedded" better.
Now that hole seems to be gone but... as everyone notices when approaching that area... things got screwed.
I personally don't recall this one reported in the BugTracker and, even if being an evident bug that everyone's aware of it and all, I guess it has to be there. I'll just add it immediately and link to this thread.
It might be related to "misaligned portals" (that would explain the "teleport" to the higher area where the trees are, if you cross it on the border) but this is certainly more than a disaligned portal issue.
As for how it looks, it pretty much depends on the camera mode used, as well as the distance you put the camera from the character, to have different (d)effects. So NumbSkull can as well be referring to the same bug, but he/she has different camera configuration than others. Or moved the camera while being in that "twisted" area, or made zoom in zoom out...
Bug has been reported:
http://www.hydlaa.com/bugtracker/bug.php?op=show&bugid=2369Thanks Bilbous, hope you don't mind me having taken this thread title to name the bug.