Incorrect mesh deformation when Max World Position Offset Displacement used

When Vertex Animated Texture is used to animate a mesh with World Position Offset, often the Max World Position Offset Displacement Material setting must be increased or the Bounds Scale increased, however when using a non-zero value for Max World Position Offset Displacement or a Bounds Scale higher than 1.0, the mesh deforms incorrectly.

Without increasing Max World Position Offset Displacement or Bounds Scale, parts of the mesh are incorrectly culled.

1. Open DEMO_Map in the Repro_Epic project in Editor (see the Additional Info URL for the project .zip)
2. Fly around the character sitting on the ground and note that it is incorrectly culled when the camera is close
3. Adjust the Max World Position Offset Displacement on any material for the character, for example 500.0

Expected

The mesh continues to animate within a maximum bound of 500.0

Actual

The mesh is flattened and moved below the ground. Increasing the Bounds Scale of the model from 1.0 makes the model randomly distort.