The public service broadcaster engaged in a "serious breach" of media regulations by not revealing that the presenter of a programme about the Gaza situation was the child of a Hamas official, as determined by UK media regulator Ofcom.
An probe by Ofcom into the programme Gaza: How to Survive a Warzone has concluded that the documentary was "substantially inaccurate".
The chief executive of the broadcaster had earlier expressed regret, stating there had been "a serious error in relation to accuracy".
The regulator has directed the broadcaster to broadcast a evening announcement about its conclusions.
"Since this amounts to a significant violation of our code, we are ordering the BBC to broadcast a announcement of our findings against it on BBC2 at nine o'clock in the evening, with a timing to be determined," the statement read.
'Risk to Erode Trust'
The watchdog's announcement said: "Our investigation concluded that the film's lack of disclosure that the voice's male guardian served in a position in the Hamas-controlled administration was materially misleading.
"It meant that the public did not have vital facts which may have been very significant to their judgment of the narrator and the details he shared.
"Confidence is at the center of the relationship between a television network and its audience, particularly for a public service broadcaster such as the BBC.
"This error had the possibility to damage the exceptionally strong levels of credibility that viewers would have placed in a documentary produced by the BBC about the conflict in Gaza."
The programme was withdrawn from iPlayer in the month of February after the presenter's family links emerged, and in July an broadcaster's internal assessment determined it infringed the corporation's content policies on truthfulness.
A representative for the broadcaster stated: "The authority's determination is in line with the findings of the internal assessment, that there was a significant failing in the documentary in relation to the broadcaster's journalistic policies on truthfulness, which reflects Rule 2.2 of the regulator's media standards.
"We issued an apology for this and we accept the authority's determination in its entirety. We will follow the penalty as soon as the schedule and wording are determined."
