The British broadcaster was found to have committed a "serious breach" of industry standards by not revealing that the presenter of a film about the Gaza conflict was the offspring of a Hamas administrator, as determined by UK media regulator Ofcom.
An inquiry by the media regulator into Gaza: How to Survive a Warzone has found that the programme was "materially misleading".
The head of the BBC had already issued an apology, noting there had been "a serious error in relation to factual correctness".
The regulator has instructed the corporation to transmit a prime-time declaration about its findings.
"As this represents a significant violation of our rules, we are instructing the broadcaster to air a statement of our conclusions against it on BBC2 at 21:00, with a timing to be confirmed," the statement read.
'Potential to Damage Credibility'
The authority's report said: "Our probe determined that the documentary's lack of disclosure that the narrator's parent held a role in the Hamas-run authority was substantially inaccurate.
"It meant that the public did not have vital facts which may have been very significant to their assessment of the voice and the content he shared.
"Credibility is at the core of the bond between a broadcaster and its public, particularly for a state-funded media outlet such as the public broadcaster.
"This error had the potential to erode the significantly high degrees of credibility that the public would have placed in a factual film from the broadcaster about the Gaza conflict."
The film was withdrawn from iPlayer in last February after the boy's familial connections emerged, and in this past July an internal BBC review concluded it violated the corporation's editorial guidelines on truthfulness.
A representative for the broadcaster said: "The authority's determination is in agreement with the results of the internal assessment, that there was a major oversight in the film in relation to the corporation's content standards on factual correctness, which aligns with clause 2.2 of the regulator's media standards.
"We issued an apology for this and we agree with Ofcom's decision in full. We will follow the sanction as soon as the timing and wording are finalised."
