(1)There shall be established under the direction and control of the Privy Council a fund, to be called the " Cinematograph Fund," and all sums paid to an authority in accordance with conditions imposed by them under the last foregoing section for the purpose of being transmitted to that fund shall be so transmitted at such times and in such manner as may be prescribed by regulations made by a Secretary of State and laid before Parliament.
(2)The moneys from time to time standing to the credit of the Cinematograph Fund shall, subject as hereinafter provided, be applied in such manner as may be directed by the Privy Council for the purpose of encouraging the use and development of the cinematograph as a means of entertainment and instruction:
Provided that a sum equal to the amount certified by the Treasury as the amount of the expenses incurred by the Privy Council in the administration of the said Fund shall be deducted annually from the Fund and applied in accordance with directions given by the Treasury as an appropriation in aid of the moneys provided by Parliament for the purposes of the Privy Council.
(3)The accounts of the Cinematograph Fund shall be kept in such form as may be directed by the Treasury, and an account showing the revenue and expenditure of the Fund shall be transmitted annually to the Comptroller and Auditor General, who shall certify and report upon the account, and the account and report shall be laid before Parliament.