The public service broadcaster engaged in a "serious breach" of broadcasting rules by failing to disclose that the narrator of a documentary about Gaza was the child of a Hamas representative, as ruled by UK media regulator Ofcom.
An investigation by Ofcom into the documentary titled Gaza: How to Survive a Warzone has found that the documentary was "substantially inaccurate".
The BBC's director general had previously apologised, saying there had been "a significant failing in relation to accuracy".
Ofcom has instructed the corporation to transmit a evening declaration about its conclusions.
"As this represents a major infringement of our code, we are directing the corporation to transmit a message of our conclusions against it on BBC Two at 9pm, with a date to be finalised," it said.
'Possibility to Erode Confidence'
The watchdog's report said: "The inquiry we conducted found that the documentary's failure to disclose that the voice's parent served in a position in the Hamas-administered authority was significantly deceptive.
"It meant that the audience did not have essential details which may have been very significant to their evaluation of the presenter and the information he presented.
"Trust is at the heart of the bond between a broadcaster and its public, notably for a national broadcasting corporation such as the public broadcaster.
"This oversight had the risk to undermine the very considerable amounts of confidence that viewers would have put in a BBC factual programme about the conflict in Gaza."
The film was withdrawn from iPlayer in the month of February after the boy's personal associations came to light, and in the month of July an internal BBC review concluded it breached the corporation's editorial guidelines on accuracy.
A representative for the broadcaster said: "The regulator's decision is in line with the results of Peter Johnston's review, that there was a major oversight in the programme in relation to the broadcaster's journalistic policies on truthfulness, which reflects clause 2.2 of Ofcom's Broadcasting Code.
"We expressed regret for this and we comply with the authority's determination in full. We will follow the penalty as soon as the timing and wording are finalised."
