The British broadcaster was found to have committed a "serious breach" of media regulations by not revealing that the narrator of a documentary about Gaza was the son of a Hamas representative, as determined by regulatory body Ofcom.
An investigation by the broadcasting watchdog into the documentary titled Gaza: How to Survive a Warzone has found that the film was "materially misleading".
The chief executive of the broadcaster had earlier expressed regret, noting there had been "a major oversight in relation to truthfulness".
The authority has directed the broadcaster to transmit a peak-time statement about its conclusions.
"Since this amounts to a serious breach of our code, we are ordering the BBC to air a announcement of our conclusions against it on the BBC's second channel at nine o'clock in the evening, with a schedule to be finalised," the regulator stated.
'Potential to Undermine Confidence'
The regulator's statement stated: "Our investigation determined that the documentary's omission to reveal that the voice's parent held a role in the Hamas-run authority was substantially inaccurate.
"This implied that the viewers did not have vital facts which may have been extremely pertinent to their evaluation of the narrator and the information he provided.
"Trust is at the heart of the bond between a broadcaster and its public, especially for a state-funded media outlet such as the public broadcaster.
"This oversight had the potential to undermine the very considerable amounts of confidence that audiences would have invested in a factual film from the broadcaster about the conflict in Gaza."
The documentary was withdrawn from the online platform in the month of February after the boy's family links emerged, and in this past July an corporation's own inquiry concluded it breached the corporation's content policies on factual correctness.
A corporation official commented: "The authority's determination is in line with the findings of the internal assessment, that there was a major oversight in the programme in relation to the broadcaster's journalistic policies on accuracy, which reflects regulation 2.2 of the regulator's media standards.
"We issued an apology for this and we agree with the authority's determination in full. We will adhere to the penalty as soon as the date and language are confirmed."