The BBC committed a "major breach" of industry standards by not revealing that the narrator of a programme about the Gaza situation was the son of a Hamas official, as determined by British broadcasting authority Ofcom.
An inquiry by the media regulator into Gaza: How to Survive a Warzone has found that the documentary was "substantially inaccurate".
The BBC's director general had already issued an apology, stating there had been "a serious error in relation to accuracy".
The authority has instructed the BBC to broadcast a evening declaration about its conclusions.
"As this represents a serious breach of our regulations, we are instructing the corporation to transmit a announcement of our conclusions against it on the BBC's second channel at 21:00, with a schedule to be finalised," the regulator stated.
'Potential to Undermine Confidence'
The watchdog's statement declared: "Our probe found that the programme's failure to disclose that the narrator's male guardian held a position in the Hamas-controlled authority was significantly deceptive.
"It meant that the audience did not have vital facts which may have been extremely pertinent to their evaluation of the narrator and the content he provided.
"Credibility is at the core of the bond between a television network and its public, especially for a public service broadcaster such as the public broadcaster.
"This failing had the potential to damage the very considerable amounts of confidence that viewers would have put in a documentary produced by the BBC about the conflict in Gaza."
The film was pulled from iPlayer in the month of February after the presenter's personal associations came to light, and in the month of July an internal BBC review concluded it breached the corporation's content policies on factual correctness.
A representative for the broadcaster said: "The regulator's decision is in line with the results of the internal assessment, that there was a significant failing in the programme in relation to the corporation's content standards on factual correctness, which corresponds to clause 2.2 of Ofcom's Broadcasting Code.
"We expressed regret for this and we accept the authority's determination in its entirety. We will follow the sanction as soon as the date and wording are confirmed."