India, Sept. 8 -- Zerodha, India's largest brokerage by number of users, has spotted a unique risk in Physics Wallah's draft IPO papers filed with India's market regulator.

The online tutor has in its draft red-herring prospectus cited "failure to protect students' and security" as a key risk factor, as that "may negatively impact our reputation and business". While that seems as a legitimate concern for a company in the business of education, the fineprint makes for an amusing read, even for Zerodha.

"In 2023, a video of a staff member pushing a student in one of our offline centres was circulated on social media. Based on an internal assessment, we terminated the staff member involved in this incident," Point No.16 in the "risk factor...