Art.1. A special account as distinct from the General Account shall be established for annual revenues and expenditures relating to betting on the Stateoperated horse racing under the Horse Racing Law (Law No.58, 1948).

Art.2. This Account shall be administered by the Minister of Agriculture and Forestry.

Art.3. In this Account, the revenues shall consist of proceeds from the sale of betting tickets under the provisions of Article 5 of the Horse Racing Law, receipts in error accompanying the sale of betting tickets (hereinafter referred to as receipts in error) and accessory sundry receipts, and the expenditures shall consist of dividends under the provisions of Articles 8 and 9 of the said Law (hereinafser referred to as dividends) repayments under the provisions of Article 12 paragraphs 2 and 4 of the said Law (hereinafter referred to as repayments), supplementals of deficits in cash due to accidents accompanying the receipt of proceeds from the sale of betting tickets or the payment of dividends or repayments (hereinafter referred to as supplementals), refunds of receipts in error, interests on temporary borrowings under the provisions of Article 10 paragraph 2 and transfers to the General Account.

Art.4. The transfers to the General Account prescribed in the preceding Article shall amount to the amount of received revenues minus disfursed dividends, repayments, supplementals, refunds of receipts in error, interests on temporary borrowings and any accrued but unpaid portion of the foregoing classes of disbursements payable within the fiscal year, and shall be put into the General Account by division for each horse racing as soon as possible within sixty days from the last day of each horse racing. In case an appropriation for the transfer is short of the amount to be transferred in cases as mentioned in the preceding paragraph, the amount equivalent to the shortage shall be transferred in the following fiscal year.

Art.5. The Cabinet shall prepare a budget of this Account and submit it to the Diet together with a budget of the General Account each fiscal year. The budget referred to in the preceding paragraph shall be accompanied with a Detailed estimates of revenues and appropriations.

Art.6. In case the Minister of Agriculture and Forestry deems it necessary to permit cash payments of dividends, repayments and refunds of receipts in error, he may deliver necessary fund from the fund for disbursements (this means the standing amount of received revenues, received temporary borrowings and diverted Treasury Surplus) to the official concerned and make him divert it. The fund delivered under the provisions of the preceding paragraph shall be refunded within sixty days from the day of the delivery.

Art.7. In case there arises a surplus on settlement of revenues and expenditures for each fiscal year in this Account, it shall be transferred to the revenues for the following fiscal year.

Art.8. The Cabinet shall prepare a settlement of revenues and expenditures of this Account and submit it to the Diet together with that of the General Account each fiscal year. The settlement of revenues and expenditures referred to in the preceding paragraph shall be accompanied with a Final statement of revenues and expenditures.

Art.9. The provisions of Article 8 of the Law for the Special Account for Demand and Supply Adjustment of Charcoal and Firewood (Law No.47, 1947) shall apply mutatis mutandis to the transfer of interests on temporary borrowings on this Account, and those of Articles 10, 11 and 15 of the said Law, to the budget and settlement of this Account, and those of Article 17 of the same Law, to the carrying-over of expenditures payable of this Account.

Art.10. In case there arises a surplus in cash for payment due in this Account, it may be deposited, with the Deposits Bureau, Ministry of Finance. In case there arises a deficit in cash for payment due in this Account, temporary borrowings may be made on burden of this Account or the Treasury surplus may be diverted. The temporary borrowings under the provisions of the preceding paragraph shall be redeemed within sixty days from the day of the borrowing, and the diverted Treasury surplus under the provisions of the preceding paragraph, within ten days from the day of the diversion, in the fiscal year concerned.

Art.11. The business concerning floatation and redemption of the temparary borrowings under the provisions of paragraph 2 of the preceding Article shall be administered by the Minister of Finance.

Art.12. The Government may entrust its specified banks (excluding the Bank of Japan) with a part of the business concerning settlement of proceeds from the sale of betting tickets and dividends and the transportation of the each for payment of the proceeds concerned and the fund delivered under the provisions of Article 6 paragraph 1.

Art.13. Matters necessary for enforcement of the Law shall be provided for by Cabinet Order.