The BBC was found to have committed a "serious breach" of media regulations by omitting to mention that the presenter of a programme about the Gaza conflict was the child of a Hamas official, according to regulatory body Ofcom.
An probe by Ofcom into Gaza: How to Survive a Warzone has found that the film was "materially misleading".
The head of the BBC had earlier expressed regret, saying there had been "a significant failing in relation to factual correctness".
The authority has instructed the BBC to transmit a evening announcement about its decisions.
"As this represents a major infringement of our regulations, we are directing the BBC to air a message of our determinations against it on the BBC's second channel at 21:00, with a schedule to be confirmed," the regulator stated.
'Possibility to Erode Confidence'
The watchdog's announcement stated: "The inquiry we conducted determined that the programme's lack of disclosure that the presenter's male guardian served in a role in the Hamas-administered administration was substantially inaccurate.
"It meant that the public did not have essential details which may have been extremely pertinent to their evaluation of the voice and the details he presented.
"Trust is at the center of the relationship between a broadcaster and its public, particularly for a national broadcasting corporation such as the British Broadcasting Corporation.
"This failing had the potential to damage the exceptionally strong levels of confidence that viewers would have placed in a factual film from the broadcaster about the Gaza conflict."
The documentary was pulled from the online platform in the month of February after the narrator's personal associations came to light, and in this past July an internal BBC review found it violated the broadcaster's editorial guidelines on accuracy.
A representative for the broadcaster commented: "The regulator's decision is in accordance with the conclusions of Peter Johnston's review, that there was a significant failing in the documentary in relation to the broadcaster's journalistic policies on accuracy, which reflects regulation 2.2 of Ofcom's Broadcasting Code.
"We expressed regret for this and we comply with Ofcom's decision in its entirety. We will adhere to the sanction as soon as the date and language are determined."