The public service broadcaster committed a "serious breach" of industry standards by failing to disclose that the narrator of a programme about Gaza was the offspring of a Hamas official, as determined by UK media regulator Ofcom.
An probe by the media regulator into the documentary titled Gaza: How to Survive a Warzone has determined that the documentary was "substantially inaccurate".
The BBC's director general had already issued an apology, saying there had been "a serious error in relation to factual correctness".
The regulator has directed the corporation to broadcast a peak-time statement about its findings.
"As this represents a significant violation of our code, we are ordering the BBC to air a announcement of our conclusions against it on BBC2 at 9pm, with a timing to be confirmed," it said.
'Potential to Damage Confidence'
The regulator's report said: "The inquiry we conducted found that the documentary's omission to reveal that the presenter's male guardian served in a post in the Hamas-run government was significantly deceptive.
"It meant that the public did not have vital facts which may have been very significant to their judgment of the voice and the information he shared.
"Confidence is at the core of the bond between a television network and its viewers, especially for a public service broadcaster such as the public broadcaster.
"This error had the possibility to erode the significantly high levels of trust that audiences would have invested in a factual film from the broadcaster about the Gaza conflict."
The film was pulled from iPlayer in February after the boy's personal associations came to light, and in July an broadcaster's internal assessment concluded it infringed the corporation's content policies on truthfulness.
A representative for the broadcaster commented: "The regulator's decision is in agreement with the findings of Peter Johnston's review, that there was a serious error in the film in relation to the BBC's Editorial Guidelines on truthfulness, which aligns with clause 2.2 of the regulator's media standards.
"We have apologised for this and we accept Ofcom's decision in full. We will comply with the sanction as soon as the date and wording are finalised."
