If you are getting double traceroutes in MPLS cloud then definately you are running with cisco bug CSCef16357. From one of the thread Click Here I come to know about that bug.
Cisco has clearly mentioned that this is the hardware issue of sup720 in 6500 chassis.
CSCef16357 Bug Details
MPLS/SUP720 : egress CE appears twice in traceroute
Symptoms
In a MPLS/VPN environment, egress CE is seen twice in traceroute.
Conditions
This problem is seen if both following conditions are met :
– egress PE is a cat6k with sup720
– MPLS core is hidden (no tag-switching ip propagate-ttl
is configured on
ingress PE)
N.B. Same problem is seen in a simple MPLS environment (without VPN)
Workaround
none
Further Problem Description
This is an hardware problem and cannot be fixed by software.
It impacts all software versions