The Terapanth constitution authorizes the Acharya to select his successor. At the age of 65, Acharya Tulsi decided to exercise this authority and name the future leader. In 1979, at Rajeldesar, Rajasthan, he nominated Muni Nathmal as his successor. To the disciples and the followers of Terapanth, this was a delightful surprise, since a highly spiritual, learned and decent individual had been selected as Yuvacharya. Acharya Shree renamed Muni Nathmal as Yuvacharya Mahapragya. Yuvacharya Mahapragya was initiated by the 8th Acharya Kalugani. Yuvacharya Mahapragya benefitted from the untiring effort, guidance, affection and training of Muni Tulsi since his early monkhood. The shining personality of Yuvacharya Mahapragya is the fabrication of Acharya Tulsi. Muni
Nathmal was completely devoted and dedicated to his Guru Acharya Tulsi. Their relationship is one of the outstanding illustrations of Guru and disciple in Indian History. Yuvacharya Mahapragya was then entrusted with the responsibility of the Terapanth order.
After this ceremony, Acharya Tulsi went on to Delhi. Yashwantaray Chauhan, one of the prominent leaders of the Congress Party visited him and asked, "Acharyaji! It is very difficult to be in power? The leading party is reluctant to give up its power whereas, on the contrary, the opposition party does not step back from playing any sort of political trick to take over the power in its hands. In this age, where everybody wants to be in power, how do you manage to hand it over so easily?"
Describing the tradition of Terapanth order, Acharya Shree said, "No one expresses his desire to be in power. All the power is in the hands of the Acharya. It is entirely his decision whom to entrust this responsibility. Nobody can interfere in this matter. The Acharya is independent to choose his successor and is not required to take advice from anyone."
Hearing this, Mr. Chauhan was very pleased and surprised. He said that if this system was adopted in the political arena, all the problems regarding elections will be resolved.