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Indian Succession Act, 1925 (Section 39 & Section 40)
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Section 39:
Where intestate has left only great-grandchildren or remoter lineal descendants.—
In like manner the property shall go to the surviving lineal descendants who are nearest in degree to the intestate,
where they are all in the degree of great-grandchildren to him, or are all in a more remote degree
Section 40:
Where intestate leaves lineal descendants not all in same degree of kindred to him, and those through whom the more remote are descended are dead.—

2) One of such shares shall be allotted to each of the lineal descendants who stood in the nearest degree of kindred to the intestate at his decease; and one of such shares shall be allotted in respect of each of such deceased lineal descendants; and the share allotted in respect of each of such deceased lineal descendants shall belong to his surviving child or children or more remote lineal descendants, as the case may be; such surviving child or children or more remote lineal descendants always taking the share which his or their parent or parents would have been entitled to respectively if such parent or parents had survived the intestate.