diff --git a/rhodecode/lib/utils.py b/rhodecode/lib/utils.py
--- a/rhodecode/lib/utils.py
+++ b/rhodecode/lib/utils.py
@@ -471,7 +471,7 @@ def create_test_index(repo_location, con
 
     repo_location = repo_location
 
-    index_location = os.path.join(config['app_conf']['index_dir'], 'index')
+    index_location = os.path.join(config['app_conf']['index_dir'])
     if not os.path.exists(index_location):
         os.makedirs(index_location)