Black outline on PNG fade-in in carousel

[trillodigital]

I'm using a feature carousel on my new website - this is a horrible test version but take look and you'll see my problem - http://tradewinds.blendagency.co.uk/carousel/

It works fine in Chrome, FF and IE9 - however in IE8 and IE7, on the fade, an ugly black outline is added to the transparent PNG.

Does anybody know how I can remove the black outline in IE8 and IE7.

Thanks!

[british_gov]

Just tested in ie8 and it looks fine, so I guess you have sorted this.

If not try setting the border='0' tag