The British broadcaster was found to have committed a "serious breach" of media regulations by failing to disclose that the presenter of a film about Gaza was the child of a Hamas representative, according to British broadcasting authority Ofcom.
An investigation by the broadcasting watchdog into Gaza: How to Survive a Warzone has found that the film was "substantially inaccurate".
The BBC's director general had previously apologised, stating there had been "a major oversight in relation to accuracy".
Ofcom has ordered the BBC to air a peak-time declaration about its findings.
"Since this amounts to a major infringement of our regulations, we are instructing the corporation to broadcast a announcement of our determinations against it on BBC Two at 21:00, with a timing to be determined," the regulator stated.
'Risk to Erode Confidence'
The regulator's announcement said: "Our investigation concluded that the film's lack of disclosure that the voice's father occupied a post in the Hamas-administered government was materially misleading.
"It meant that the audience did not have essential details which may have been very significant to their evaluation of the presenter and the content he provided.
"Credibility is at the core of the bond between a media organization and its audience, particularly for a state-funded media outlet such as the public broadcaster.
"This failing had the potential to undermine the significantly high levels of credibility that viewers would have put in a factual film from the broadcaster about the Gaza conflict."
The programme was pulled from iPlayer in the month of February after the presenter's family links came to light, and in this past July an corporation's own inquiry concluded it infringed the organization's editorial guidelines on truthfulness.
A BBC spokesperson said: "The authority's determination is in agreement 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 factual correctness, which aligns with Rule 2.2 of Ofcom's Broadcasting Code.
"We expressed regret for this and we accept the regulator's ruling in full. We will follow the sanction as soon as the timing and wording are confirmed."