Guidelines for Reconstitution of LPG Distributorship – 2022


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Guidelines for Reconstitution of LPG Distributorship – 2022
DETAILED GUIDELINES FOR RECONSTITUTION OF
LPG DISTRIBUTORSHIP 2022
w.e.f. 27th May 2022
Ver 2.0 1

Guidelines for Reconstitution of LPG Distributorship – 2022

1.

PREAMBLE

The Reconstitution Policy was last approved by MOP&NG vide their letter no. P-19011/5/2005IOC dated 16.10.2008. After the above guidelines MOP&NG had circulated amendments in the Reconstitution Policy from time to time and the commensurate amendments to the same effect were issued by the Oil Marketing Companies (OMCs).

Further based on the discussions held with MOP & NG dated 01.05.2018 and deliberations carried amongst the OMCs the existing Reconstitution policy was further liberalized in order to keep the willing Distributorship in our fold and to attract Entrepreneurs in to this business. This was in line with the Govt. Of India’s initiative of creating an environment towards ease of doing business. Reconstitution of LPG Distributorship were framed on Industry basis and circulated in Nov’2018.

Thereafter, the reconstitution guidelines were revised in 2020. Various representations and suggestions were received by OMC to review the existing procedure and collect application and documents for reconstitution online and make it simpler and user friendly.
The Revised Reconstitution guidelines called as “Reconstitution Policy- May 2022” given below supersede all earlier guidelines on reconstitution of LPG Distributorship issued by OMCs.

2.

RECONSTITUTION AT LETTER OF INTENT (LOl) STAGE

The reconstitution process at LOI stage will be through Offline mode.

2.1. For the purpose of Reconstitution at LOI stage, the LOI stage would also include situation where the selected candidate gets clearance from Field Verification Committee (passes FVC) and is eligible for issuance of LOI. The eligibility of the candidate shall be as defined and specified in Distributorship Selection Manual/Unified guidelines for distributor selection.

2.2. Reconstitution of LPG distributorship will be permitted only once, except in case of death and incapacitation, at LOI stage.

2.3. Reconstitution will be allowed at LOI stage in the event of death or incapacitation resulting in total and permanent disability (which will disable the LOI holder to work or follow any occupation or profession) due to serious illness/ accident resulting in total and permanent disability (which will disable the LOI holder to work or follow any occupation or profession). Reconstitution at LOI stage may be considered in favour of Nominee(s)/legal heir(s)/family member(s) (including married children, daughter-in-law, son in law and grandchildren) subject to their eligibility. In case if the legal heir(s)/family member(s)/Nominee(s) as mentioned above have expressed their unwillingness, the LOI shall be cancelled after recording the said unwillingness in writing.

2.4 In case of death of proprietor/partner(s) at LOI stage, reconstitution will be allowed in favour of the nominee(s). In case of no nominee(s) or nominee have expressed their unwillingness than reconstitution will be allowed in favour of legal heir(s)/family member(s) with the consent of legal heir(s) and surviving partners. However, if there is/are no legal heir(s) or legal heir(s) have expressed unwillingness, than the distributorship at LOI stage shall be reconstituted with the surviving partner(s). In cases where there are no legal heir(s) of the deceased/incapacitated LOI holder(s) and /or their present address is not known, then OMCs shall issue a notice giving 30 days’ time to respond {cost to be borne by surviving partner(s) / other legal heir(s)} in the newspaper in the District concerned, seeking response/objection on the proposed reconstitution

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Guidelines for Reconstitution of LPG Distributorship – 2022
of the firm & clearly stating that no further claim beyond the stipulated period of 30 days will be entertained. However, the proposed / existing LOI holder(s) will have to indemnify the OMCs against any claims or demands which may be made in future.
2.5 Reconstitution at LOI stage may also be permitted to induct outside partner (s) for bringing in finance/expertise. In such case, the LOI holder shall retain at least 51% share. However, induction of outside category partner in locations advertised under SC/ST category shall be restricted to 25% share in the distributorship. (for SC – anyone not SC will also be outside and similarly for ST- anyone not ST will be outside). If non-SC/ST spouse of SC/ST LOI holder(s) is inducted as partner, his/her share in the distributorship shall be counted as SC/ST share.
In case of death/permanent incapacitation of SC/ST LOI holder(s), total share of the deceased/incapacitated LOI holder(s) can be transferred to their Legal heirs. In case of transfer of share to Non-SC/ST spouse or Non-SC/ST children (legal heirs) the same would be counted as SC/ST share.
In case of death/permanent incapacitation of SC/ST partner (in a SC/ST category distributorship having partner from outside SC/ST category) and where there is no legal heir (s) or legal heir(s) have expressed their unwillingness, in such case the share of the deceased/ incapacitated SC/ST dealer can be transferred to any other person(s) belonging to the same category, there by maintaining the same category share at minimum 75%.
2.6 The LOI Stage will include the selected candidate in draw, expired/incapacitated prior to FVC/after FVC. The legal heirs will be allowed, as the case may be, for completing the FVC. In case the selected candidate passes FVC, the reconstitution at LOI Stage, as mentioned above, will be considered.
2.7 Facility for Nomination at LOI stage : LOI holder(s) may submit a Nomination Form containing name(s) of spouse or his/her children (including Step children); son in law/daughter in law; Parents(including step father/step mother); Brother/sister (including step brother and step sister); grandparents (both maternal and paternal); grand children, that he/she desires to transfer his/her share in the event of death or incapacitation resulting in total and permanent disability which will disable him/her to work or follow any occupation or profession. The nomination form (Annexure-I1) duly sworn before a First Class Magistrate / Executive Magistrate / Notary Public/ any other equivalent competent authority in the concerned state may be submitted in person by LOI holder to the concerned Indane DO/Territory/Regional office during his/her lifetime. The LOI Holder(s) will also have the option to change his/her nomination at any time during the LOI stage. In case of partnership, partners may submit nomination separately but such nomination will have to be witnessed by other partner(s).
On demise or total incapacitation of the LOI holder(s), fresh LOI will be issued to the person(s) as per the last nomination. In case of more than one nominee, the shareholding of the deceased will be distributed among the nominated persons in the ratio the deceased LOI holder has mentioned in the last nomination or equally in case no share out is mentioned.
The OMC can allow for induction of such nominee(s) as proprietor/partner(s) provided he/she/they meet the eligibility criteria for reconstitution, as applicable without seeking consent from other legal heirs upon demise of the LOI holder(s).
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Guidelines for Reconstitution of LPG Distributorship – 2022

However, if the person(s) nominated express unwillingness to be inducted as LOI holder(s) or they are found ineligible, as per norms applicable for Distributorship Selection other than age and education {viz. debarred from distributorship under disqualification criteria as per the Dealer Selection Guidelines in vogue}, at that juncture, the LOI can be reconstituted with the other willing legal heir(s) or family member(s) of the deceased LOI holder(s) with the consent of the other legal heir(s).

Along with the proposal for reconstitution, the surviving LOI holder(s) and the nominee(s) are required to submit Indemnity bond as per Annexure-K1 & Annexure J1 respectively.

2.8 General conditions for reconstitution at LOI stage

The proposed candidate, whether proprietary or in partnership, will have to fulfil the following conditions:

2.8.1 Multiple distributorship norms and other eligibility criteria, for Distributor Selection Guidelines under relevant category prevailing at the time of reconstitution will be applicable.

For the cases as mentioned in 2.3, relaxation of age and educational qualifications will be allowed as mentioned in clause 2.8.2 & 2.8.3.

2.8.2

The minimum age requirement will be 18 years. If the legal heir is minor in age, the guardian shall operate the distributorship till he/she becomes major and the distributorship would be once again ratified when the minor becomes major and expresses his willingness to continue with the distributorship. This will be applicable to the cases as mentioned in 2.3 above.

2.8.3 There will not be any minimum educational qualification criteria. However, he/she must be able to read, write and count.

2.8.4 OMC can transfer the LOI by issuing fresh LOI after necessary approval by the Competent Authority, i.e. the authority who is authorized to approve the Reconstitution Proposals.

2.8.5 The new LOI holder would be required to comply with all the conditions as mentioned in the earlier LOI issued to the deceased/incapacitated proprietor/partner(s).

2.8.6

Multiple distributorship norms would not be applicable in the cases of reconstitution at LOI stage, only if it is arising out of death/incapacitation resulting in total and permanent disability (which will disable the LOI holder to work or follow any occupation or profession) in favour of family member(s) already holding a distributorship subject to there being no other eligible willing legal heir/ member of family unit for transfer of LOI.

2.8.7

Indian citizen: The incoming proprietor / partner(s) should be Indian Citizen, and a resident of India as well in line with Distributor Selection Guidelines. Cases where incoming legal heir(s)/ family member(s) is/are not Indian Citizen(s) they will be given six months' time to meet the Citizenship criteria.

2.8.8

Legal heir Certificate: claiming to be legal

Legal Heir Certificate is required to be submitted, by the person heir, to OMCs to establish Legal heirs of the deceased
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Guidelines for Reconstitution of LPG Distributorship – 2022

Proprietor/Partner(s). In case the same is getting delayed, then the Incoming partner/legal heir(s) can submit an affidavit sworn before 1'' class Magistrate or any other competent authority in the concerned State by all the legal heir(s) of the deceased (including incoming legal heir(s)) declaring that they are the only legal heir(s) of the deceased.

OMCs can approve reconstitution in such cases. However, the reconstituted distributorship will have to indemnify the OMC against any claims or demands which may be made in future by any person claiming to be legal heir and would also have to face consequences such as termination of distributorship.(Annexure L1)

In case the person(s) claiming to be legal heir of deceased has/have already obtained Succession Certificate, the need for seeking Legal Heir Certificate can be dispensed with. If the Legal Heir Certificate is not generally issued in the jurisdiction/State where the Distributorship is operating than Succession Certificate to be taken.

2.8.9

Nominated person/Legal Heir(s)/Partner(s) is/are not available/ not Traceable: In the event of death or incapacitation resulting in total and permanent disability (which will disable the proprietor/ partner to work or follow any occupation or profession) of the Proprietor or Partner(s) of a distributorship firm, if the person(s) nominated by the deceased/disabled Proprietor/Partner is/are not traceable and/or his/her/their present address is not known, then OMC shall issue a notice in the newspaper in the district concerned seeking response/objection on the proposed reconstitution of the distributorship in favour of legal heirs or the family members of the deceased.

The notice should clearly state that the Claim, if any, for selection/induction as LPG distributor, made beyond the stipulated period in the notice would not be entertained under any circumstances. Thereafter OMC shall be at liberty to exercise its rights to approve reconstitution of the distributorship excluding such nominated person(s). Cost of newspaper notification to be borne by the distributorship firm or should be deducted from the final settlement of account of the terminated distributorship or should form part of claim of OMCs in case of dispute. The above procedure shall also be followed if any of the legal heirs or existing partner(s) is/are not traceable. However, the inductee(s) of the LOI will have to indemnify the OMC (Annexure-M1) against any claims or demands which may be made in future.

2.8.10

In cases where Nominee(s) / Legal Heir(s) is/are not responding: In case Nominee(s) / Legal heir(s) have not given their consent within specified period of 30 days, another time period 30 days (as reminder) shall be given to the nominee(s)/legal heir(s) for expressing their willingness to join the LOI failing which, it will be treated that they {non responding nominee(s)/legal heir(s) of deceased proprietor/partner(s)} are unwilling to be inducted in the LOI and the OMC can approve reconstitution of the LOI with the willing nominee(s)/legal heir(s). However, the surviving / incoming LOI holder(s) of the reconstituted LOI will have to indemnify the OMC against (Annexure-N1) any claims or demands which may be made in future.

2.8.11 In cases where there is dispute in share out: In case of dispute on share out between legal heirs of deceased LOI holder(s), the share of the deceased LOI holder(s) will be equally divided between all the willing incoming legal heirs. However, in this case the willing legal heirs to be inducted in the LOI will have to indemnify the OMC against any claims or demands which may be made in the future.
2.8.12 In cases where there is no NOCs from Legal Heir(s) who are not eligible to become LOI holder(s): In case of death, where one or more Nominee(s) / Legal heir(s) are not willing
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Guidelines for Reconstitution of LPG Distributorship – 2022
to give relinquishment or NOC in favour of surviving/incoming LOI holder(s) despite the fact that these Nominee(s) / Legal heir(s) may not be eligible to become dealer as per Disqualification norm of Dealer Selection guidelines, in such cases obtaining NOC/Relinquishment from such Nominee(s) / Legal heir(s) will not be mandatory. However, the onus would be on the surviving/incoming LOI holder(s) of the LOI to provide conclusive documentary evidence with regard to disqualification of such Nominee(s) / Legal heir(s) and OMC would independently verify the authenticity of the same. In such cases, OMCs will issue a communication to the concerned Nominee(s) / Legal heir(s) to submit documentary proof with regard to their eligibility within 30 days from the date of the letter. In case no response is received, the OMC can approve reconstitution of the LOI excluding such Nominee(s) / Legal heir(s). However, the surviving / incoming LOI holder(s) of the reconstituted LOI will have to indemnify the OMC against (Annexure-O1) any claims or demands which may be made in future.
For cases where letters written to such nominee(s) / Legal heir(s) gets returned undelivered. Such cases will be treated as “Nominee(s) / Legal Heir(s) of deceased partner(s) of LOI is/are not available / not traceable” and further action is to be taken in accordance with the same.
Efforts to be made for completing the process within 6 months' time from the date of receipt of intimation of the mishap by the OMC.

2.9 PROCESS OF RECONSTITUTION AT LETTER OF INTENT (LOI) STAGE:

2.9.1

Application: The application for reconstitution, in the prescribed format along with relevant affidavits/ Undertakings will be submitted to the concerned Indane DO/Territory/Regional Office of IOC/BPC/HPC, as applicable, against acknowledgement. Indane DO/Territory/Regional Office of IOC/BPC/HPC, as applicable, will maintain a record for this purpose and each application will be acknowledged giving reference to a unique identification no. (Docket no.)

2.9.2

Scrutiny at Indane DO/Territory/Regional Office of IOC/BPC/HPC : A two member Reconstitution Scrutiny Committee (RSC) constituted by the Indane DO/Territory/Regional incharge of IOC/BPC/HPC, as applicable, with one member to be the concerned Field Officer, shall be formed to assess the eligibility of the legal heir(s)/family member(s)/outside partner(s) in line with the Guidelines for Selection of LPG Distributors in vogue and the relaxations provided hereinabove.

2.9.3

The RSC will scrutinize/review the proposal for: • Verification of Originals with the submitted documents. • Conformity with the guidelines. • Eligibility of incoming proprietor/partner(s) on age, education, multiple distributorship
norms, caste certificate (for SC/ST) etc. • Examination of documents submitted along with the proposal. • If exemption(if applicable) is sought on education qualification, the committee to verify
that the applicant can read, write and count. After the scrutiny, if found meeting the criteria, the RSC will submit their recommendation to the Indane DO/Territory/Regional Office in-charge.

2.9.4 The request for reconstitution on account of total and permanent disability will be considered based on submission of certificate to this effect from Chief Medical Officer (CMO) of Govt.

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Guidelines for Reconstitution of LPG Distributorship – 2022

Hospital of the district. Alternatively, the recommendation of Medical Board recognized by the Govt. can also be considered by the approving authority.

2.9.5

In case of death/incapacitation resulting in total and permanent disability (which will disable the LOI holder to work or follow any occupation or profession)of Selected candidate/LOI Holder, on receipt of information regarding death/such incapacitation, a letter giving opportunity for reconstituting the LOI to legal heir/family member (including married children, daughter-in-law, son in law and grandchildren) subject to their eligibility, will be issued by the Indane DO/Territory/Regional in-charge of IOC/BPC/HPC, as applicable, within 10 (ten) days of receipt of such information. Along with this letter, copy of application form for reconstitution of distributorship at LOI stage and list / format of other documents and other relevant information to be submitted by the applicant, shall be sent. 30 (thirty) days’ time will be given for submitting the application. In case of formal request for extending the time, another 30 days can be extended by Indane DO/Territory/Regional in-charge of IOC/BPC/HPC.

2.9.6

Communication to Applicants & Field Officer: Within 20 days from receipt of proposal, the Indane DO/Territory/Regional Office of IOC/BPC/HPC, as applicable should send communication to the applicant(s) :-
• Informing reasons for rejection of proposal (on eligibility norms) • Informing short comings, if any, in the documents with a request to re-submit the corrected / additional documents and that further action will be taken only after receipt of complete proposal / additional documents. After receipt of revised proposal / documents, a new identification no. (Docket no.) shall be given.

2.9.7

Letter will be sent intimating the date and time on which all existing partners along with proposed incoming partner should visit the Indane DO/Territory/Regional Office of IOC/BPC/HPC, as applicable, for meeting with Indane DO/Territory/Regional in-charge and cross verification of documents. This date will be given with a notice of 15 days. If a request from the applicant(s) is received for changing the date of meeting, such request should be accommodated and next date with mutual consent should be fixed at the earliest but not later than 30 days from the date of original meeting communication by OMCs. It should also be communicated to the applicants that IOC/BPC/HPC will not be responsible for delay in the process on this account.

2.9.8

Meeting with existing selected candidate/ LOI holder /in coming /Partner(s): On due date of

meeting with all existing and proposed incoming partner(s), a committee consisting of the

concerned field officer along with another officer from Indane DO/Territory/Regional Office of

IOC/BPC/HPC, as applicable, will verify the identity of the individuals with photo identity cards

and also cross verify the original documents with respect to eligibility criteria. Photocopy of

identity cards of all the members and eligibility documents duly signed by them with date will be

kept in record with counter signature of the above mentioned committee. Any one of the

following photo identity cards will be reckoned for the above purpose.



PAN Card



Passport



Voter ID



Photo ID card issued by Govt./PSU



Driving Licence

2.9.9

This will be followed by meeting of all existing and incoming partner(s) with the Indane DO/Territory/Regional Office in-charge of IOC/BPC/HPC, as applicable, along with the above mentioned committee.
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Guidelines for Reconstitution of LPG Distributorship – 2022

2.9.10

In case an existing selected candidate/ LOI holder /in coming partner (s) is unable to visit Indane DO/Territory/Regional Office of IOC/BPC/HPC, as applicable, on the due date on account of serious illness / hospitalization or such other situation to the satisfaction of the Indane DO/Territory/Regional Office in-charge, a two member team consisting of the concerned field officer and one more officer to be nominated by the Indane DO/Territory/Regional Office incharge will be deputed to meet such partner provided he or she is available within the Indane DO/Territory/Regional Office jurisdiction. In other cases where existing selected candidate/ LOI holder /in coming partner (s)is not able to visit Indane DO/Territory/Regional Office for the above meeting, the proposal will be referred to State/Regional/Zonal Office. Depending upon the merit and circumstances, State LPG Head/Regional Head /Zonal Head may consider and approve the proposal with specific reasoning. For this purpose, opinion of Law department of State/Zonal Office may be obtained to safeguard the interest of the Corporation, if required.

2.9.11 In case of incapacitation resulting in total and permanent disability, if the selected candidate/LOI holder is not in a position to give consent due to physical condition then consent of the legal heir/family member (including married children, daughter-in-law, son in law and grandchildren) would be required before reconstitution. Before reconstitution proposed LOI holder should furnish appropriate indemnity form indemnifying the OMCs against any claim/damage in the future.

2.9.12 Indane DO/Territory/Regional Office in-charge, after due recommendation shall forward the proposal to the State LPG Head/Region Head/Zonal Head for approval of reconstitution and issuance of fresh LOI and cancellation of the earlier LOI. The fresh LOI would be issued with all the conditions as was mentioned in the earlier LOI including that the legal heir(s)/family member(s) will have to make available the identified land offered by the original allottee/deceased/incapacitated LOI holder at the time of selection for LPG Distributorship.

2.9.13 Disposal of proposal: The following action shall be taken by Indane DO/Territory/Regional Office with regard to the proposals:

• To be forwarded within 7 days to concerned Head of LPG in State/Region/Zonal Office necessary action/approval of State LPG Head/Regional Head /Zonal Head, in case of proposals meeting norms.
• To be disposed of by sending communication on rejection of proposal within 7 days of the meeting, for proposals found deficient and not suitable for approval.

2.9.14

Upon receipt of proposal at State LPG Head/Region/Zonal Office of IOC/BPC/HPC, as applicable, the same will be reviewed by the a three member committee, consisting of two officers from State / Regional / Zonal Office and the in-charge of concerned Indane DO/Territory/Regional office of IOC/BPC/HPC, as applicable, nominated by the State LPG Head/Region Head/Zonal Head and eligible cases will be recommended by the Committee for approval by the State LPG Head/Region Head /Zonal Head. Status of approval/rejection of the proposals will be conveyed to the Indane DO/Territory/Regional Office in-charge by the State LPG Head/Region Head/Zonal Head. Within 7 days of receipt of information on the status of the proposal, the following action shall be taken by Indane DO/Territory/Regional Office with regard to the proposals.

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Guidelines for Reconstitution of LPG Distributorship – 2022
• To be disposed of by conveying “in-principle approval” with instruction for necessary formalities to be completed by the applicants giving additional 60 days’ time, in case of proposals approved by the State LPG Head/Region Head/Zonal Head.
• To be disposed of by sending communication on rejection of proposal, for proposals rejected by the State LPG Head/Region Head/Zonal Head.
2.9.15 Indane DO/Territory/Regional Office in-charge must ensure that the progress of all the proposals starting from receipt of application, meeting with existing selected candidate/ LOI holder /in coming partner (s), forwarding to State/Zonal office, wherever applicable, conveying approval/rejection of proposal, till execution of the agreement is monitored for this purpose. The same should be available for review by the visiting officials.
2.9.16 State LPG Head/Region/Zonal Office of IOC/BPC/HPC will also initiate regular monitoring system in the State/Region/Zonal office.
Formats of application, standard affidavit, indemnity, nomination form, etc. are attached as Annexures to this guidelines.
2.10 APPROVING AUTHORITY & TIME LINES FOR RECONSTITUTION AT LETTER OF INTENT (LOI) STAGE
2.10.1 Approving authority for all cases of reconstitution at LOI stage will be concerned State LPG Head/Regional Head /Zonal Head of IOC/BPC/HPC, as applicable.
2.10.2 All proposals for reconstitution at LOI stage should be disposed of within 75 days from submission of complete proposal.
2.11 NON-REFUNDABLE APPLICATION PROCESSING FEE & RECONSTITUTION FEE FOR RECONSTITUTION AT LETTER OF INTENT (LOI) STAGE :
In all cases, the distributorships would be required to pay non-refundable application processing fee of Rs.25000/- (plus applicable GST) at the time of application and upon approval of reconstitution, pay a non-refundable reconstitution fee equivalent to Security Deposit amount (plus applicable GST) as applicable to the category of distributorship defined under Distributor Selection Guidelines in vogue, before issuance of fresh LOI, except under the cases mentioned below;
• In case where reconstitution is arising out of death/incapacitation resulting in total and permanent disability (which will disable the LOI holder to work or follow any occupation or profession) of the proprietor / partner(s) and the incoming partner(s) {provided they all are Legal heir(s) / family member(s)} propose to hold the same share in partnership as was with the deceased/incapacitated.
• For induction of partner(s) from SC/ST category in LOIs belonging to same category. However, in cases involving induction of outside category partner(s) in SC/ST Distributorship, no exemption will be given.
In case application for reconstitution is rejected for short comings of the documents or nonsubmission of original for verification , existing selected candidate/ LOI holder /in coming Partner(s) to apply afresh for reconstitution within 60 days with correct documents. On such reapplication, 50 % of the application fee amount (plus applicable GST) will be payable.
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Guidelines for Reconstitution of LPG Distributorship – 2022

3

RECONSTITUTION OF COMMISSIONED DISTRIBUTORSHIP

Entire process of Reconstitution will be through Online mode

3.1 Optional Nomination by Proprietor /partners:

3.1.1

Proprietor/partners of existing distributorship may nominate, in the form to be prescribed, person(s) he/she desires to transfer his/her share in the event of his/her death or incapacitation resulting in total and permanent disability (which will disable the proprietor/ partner to work or follow any occupation or profession). Such nomination can be made in the name of legal heir(s)/family member(s)/outsiders(s).

3.1.2 For a partnership firm, all partners may submit nominations separately, in the prescribed Form. New distributors may submit fresh nomination upon commissioning.

3.1.3

The nominees should also submit a declaration of acceptance of his/her nomination. The proprietor/partner(s) will have the option to change the nomination anytime so long he/she holds share in the distributorship firm by following the same procedure as is required to be followed for giving fresh nomination. The latest nomination details shall be displayed to Distributors in internal portals of OMCs for his information.
In case of nomination in the name of legal heir(s)/family member(s), the nomination form duly sworn before a First Class Magistrate / Executive Magistrate /Notary Public/ any other equivalent competent authority in the concerned state, has to be submitted in person by Proprietor/ Partner to the concerned Division/ Territory/ Regional Office during his/her lifetime.
In case of nomination in the name of outsider(s), the nomination form duly sworn before a First Class Magistrate / Executive Magistrate / any other equivalent competent authority in the concerned state, has to be submitted in person by Proprietor/ Partner to concerned Division/Territory/Regional Office during his/her lifetime.
Nomination forms submitted after the death of Proprietor/Partner will not be accepted

3.2 There will be no restriction of time period for reconstitution of commissioned distributorship. However, up to three years of commissioning of a distributorship, reconstitution will be permitted for induction of minority partner(s) including outside partner(s), with maximum share of incoming partner(s) restricted up to 49% (except in case of induction of outside category partners in SC/ST distributorships wherein the share of incoming outside category partner(s) will be restricted to 25%). There is no restriction on shareholding of the partner(s) in the distributorship after three years of commissioning (except in case of induction of outside category partners in SC/ST distributorships wherein the share of incoming outside category partner(s) will be restricted to 25%).
If the reconstitution is desired for the induction of family members (his/her spouse; Children (including step children); son in law / daughter in law; Parents (including step father/step mother); Brother/Sister (including step brother and step sister); grand-parents (both maternal and paternal); grand-children.) then the restriction of minority share will not be applicable.

3.3 The restrictions of induction of spouse only, mandatorily as per condition of erstwhile distributorship selection guidelines, are also being dispensed with. Where in any such
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Guidelines for Reconstitution of LPG Distributorship – 2022