Very tame by todays standards, this movie was banned in the UK for 30 years. The thing that made it real contraversial was the use of actual sideshow performers in the film.
Also, this film was cut down severely, including one scene where Hercules is singing in falsetto after aparently being castrated.

When the 'freaks' hunt down Cleo and Hercules, Josephine Joseph seems to be missing

Cleo runs a bit of a distance and stops. When she sees the 'freaks' coming slowly tward her, she just stands there and yells AAAAAAAAA! Why didnt she just continue running?

The only true freaks in the movie was Cleo and Hercules. The sideshow performers especialy Josephine Joseph were the most human.