The British broadcaster was found to have committed a "serious breach" of industry standards by failing to disclose that the presenter of a film about the Gaza conflict was the son of a Hamas official, as determined by British broadcasting authority Ofcom.
An inquiry by the media regulator into the documentary titled Gaza: How to Survive a Warzone has found that the film was "substantially inaccurate".
The chief executive of the broadcaster had already issued an apology, noting there had been "a major oversight in relation to accuracy".
Ofcom has directed the broadcaster to broadcast a peak-time declaration about its conclusions.
"As this represents a serious breach of our rules, we are directing the corporation to air a message of our findings against it on BBC Two at 21:00, with a schedule to be finalised," the regulator stated.
The watchdog's announcement declared: "Our probe concluded that the film's omission to reveal that the presenter's male guardian held a position in the Hamas-administered authority was materially misleading.
"Consequently that the audience did not have essential details which may have been extremely pertinent to their evaluation of the voice and the details he presented.
"Confidence is at the core of the connection between a television network and its audience, especially for a state-funded media outlet such as the public broadcaster.
"This oversight had the potential to damage the exceptionally strong levels of credibility that the public would have invested in a BBC factual programme about the Israel-Gaza war."
The documentary was removed from the BBC's streaming service in February after the narrator's familial connections were revealed, and in this past July an broadcaster's internal assessment concluded it infringed the organization's content policies on accuracy.
A BBC spokesperson stated: "The authority's determination is in line with the findings of the corporation's inquiry, that there was a significant failing in the documentary in relation to the broadcaster's journalistic policies on truthfulness, which aligns with regulation 2.2 of the regulator's media standards.
"We have apologised for this and we comply with the regulator's ruling in complete. We will comply with the penalty as soon as the schedule and language are determined."
Elena Verhoeven is a tech enthusiast and digital strategist with over a decade of experience in emerging technologies and online innovation.