Dalal Street witnessed a major correction on Tuesday as big investors, including domestic and foreign funds, booked profits. The Sensex saw a swing of 170 odd points on intra-day basis, indicating a high level of volatility.The Sensex finally closed at 7,615.99 points, plummeting by 134.61 points from its previous close. The NSE Nifty ended 39.05 points lower at 2,328.80.Apart from profit-booking, market players were also worried over the reported move by RBI and Sebi to scan funding of share purchases. ‘‘Reports that big private equity investors may face restrictions also prompted operators to exit from stocks. The market was in an overheated position,’’ said a BSE dealer.‘‘The banking regulator doesn’t want to be caught on the wrong foot this time. Though RBI has put a ceiling on bank funding of shares, it’s clear that there was a sudden surge in such financing following the boom in the market,’’ said stock dealer Pradip Bhavnani. ‘‘On the other hand, curbs on private equity funds would reduce the inflow from abroad.’’The barometer index opened at 7,764.86, and hit a high of 7,770.83 points. But selling pressure emerged in the heavyweights which dragged Sensex lower.Complaint filed against Sebi director Madhukar MUMBAI: The Investors Grievances Forum has filed a formal complaint against Sebi whole-time member Madhukar for his statement on Sensex crossing the 16,000 level in a year. ‘‘Making such a statement by a Sebi member has a catastrophic effect on the capital market and small investors,’’ said IGF President Kirit Somaiya. ‘‘It is violation of Sebi norms, corp governance and also a fraudulent and unfair trade practice,’’ he said. — ENS
