The public service broadcaster committed a "major breach" of industry standards by not revealing that the presenter of a documentary about Gaza was the offspring of a Hamas representative, as determined by British broadcasting authority Ofcom.
An investigation by the broadcasting watchdog into the programme Gaza: How to Survive a Warzone has found that the programme was "substantially inaccurate".
The chief executive of the broadcaster had already issued an apology, noting there had been "a significant failing in relation to accuracy".
The regulator has instructed the BBC to air a evening declaration about its conclusions.
"As this represents a serious breach of our regulations, we are instructing the broadcaster to transmit a announcement of our conclusions against it on the BBC's second channel at nine o'clock in the evening, with a timing to be determined," the statement read.
'Possibility to Damage Credibility'
The regulator's announcement said: "The inquiry we conducted found that the programme's omission to reveal that the voice's male guardian occupied a position in the Hamas-controlled administration was substantially inaccurate.
"This implied that the viewers did not have critical information which may have been highly relevant to their assessment of the narrator and the information he presented.
"Trust is at the center of the bond between a media organization and its public, particularly for a national broadcasting corporation such as the BBC.
"This oversight had the risk to damage the significantly high amounts of credibility that the public would have invested in a factual film from the broadcaster about the conflict in Gaza."
The documentary was withdrawn from the online platform in February after the narrator's family links were revealed, and in the month of July an internal BBC review found it breached the broadcaster's content policies on truthfulness.
A corporation official stated: "The regulator's decision is in line with the findings of the corporation's inquiry, that there was a serious error in the film in relation to the corporation's content standards on accuracy, which aligns with Rule 2.2 of Ofcom's Broadcasting Code.
"We have apologised for this and we accept the regulator's ruling in complete. We will comply with the penalty as soon as the date and language are determined."
