Resolution : Analyzed the whole list item edit form and found that one column which was People picker was giving spelling errors against it.
Clicked on the spelling errors found that Spell checker does its spell check against the query written to resolve the name from Active Directory which was resulting in 105 errors being displayed.
So in all we can say that this bug in SharePoint 2010 hopefully will be corrected in future versions.
Please let me know if you have any questions or need more information.
Your feedback is welcome :)