This is from the ending of the Famicom game Dai Meiro: Meikyuu no Tatsujin.
(http://i16.photobucket.com/albums/b41/ReyVGM/forums/DaiMeiro-MeikyuunoTatsujinJ.gif)
I think she's theoretically hugging him and the kid is allegedly crying, but it sure looks like some subliminal twisted incest ending to me!
What happens before this scene?
It's she-male shorta incest.
It's obviously hugging and crying though.