The British broadcaster was found to have committed a "major breach" of industry standards by failing to disclose that the narrator of a documentary about the Gaza conflict was the offspring of a Hamas administrator, as determined by British broadcasting authority Ofcom.
An investigation by the media regulator into Gaza: How to Survive a Warzone has determined that the documentary was "materially misleading".
The head of the BBC had earlier expressed regret, saying there had been "a serious error in relation to factual correctness".
The authority has directed the BBC to air a evening declaration about its findings.
"As this represents a major infringement of our regulations, we are instructing the BBC to transmit a statement of our determinations against it on BBC Two at 21:00, with a schedule to be determined," the statement read.
'Potential to Undermine Trust'
The authority's statement said: "The inquiry we conducted concluded that the documentary's omission to reveal that the presenter's parent occupied a position in the Hamas-administered authority was significantly deceptive.
"This implied that the public did not have vital facts which may have been very significant to their judgment of the presenter and the information he presented.
"Trust is at the heart of the bond between a media organization and its viewers, especially for a national broadcasting corporation such as the public broadcaster.
"This oversight had the risk to undermine the significantly high degrees of trust that audiences would have placed in a factual film from the broadcaster about the Israel-Gaza war."
The documentary was withdrawn from iPlayer in the month of February after the narrator's familial connections emerged, and in this past July an corporation's own inquiry found it violated the broadcaster's editorial guidelines on truthfulness.
A BBC spokesperson commented: "The regulator's decision is in accordance with the conclusions of the internal assessment, that there was a serious error in the film in relation to the broadcaster's journalistic policies on accuracy, which aligns with regulation 2.2 of the authority's broadcasting regulations.
"We expressed regret for this and we accept Ofcom's decision in its entirety. We will comply with the sanction as soon as the timing and wording are determined."
