The public service broadcaster was found to have committed a "significant breach" of broadcasting rules by omitting to mention that the narrator of a film about the Gaza conflict was the offspring of a Hamas official, as ruled by regulatory body Ofcom.
An inquiry by the media regulator into Gaza: How to Survive a Warzone has concluded that the programme was "materially misleading".
The head of the BBC had earlier expressed regret, stating there had been "a serious error in relation to factual correctness".
The authority has instructed the corporation to air a evening announcement about its findings.
"Since this amounts to a major infringement of our regulations, we are directing the broadcaster to broadcast a announcement of our conclusions against it on the BBC's second channel at nine o'clock in the evening, with a date to be confirmed," the statement read.
'Potential to Undermine Credibility'
The watchdog's announcement declared: "Our investigation found that the programme's omission to reveal that the presenter's parent served in a role in the Hamas-run authority was materially misleading.
"It meant that the public did not have essential details which may have been very significant to their assessment of the presenter and the details he presented.
"Credibility is at the heart of the relationship between a television network and its viewers, particularly for a public service broadcaster such as the public broadcaster.
"This failing had the risk to damage the very considerable amounts of trust that the public would have invested in a factual film from the broadcaster about the Gaza conflict."
The programme was removed from the online platform in February after the boy's familial connections were revealed, and in this past July an broadcaster's internal assessment concluded it breached the broadcaster's content policies on truthfulness.
A BBC spokesperson commented: "The authority's determination is in agreement with the conclusions of the corporation's inquiry, that there was a serious error in the programme in relation to the broadcaster's journalistic policies on accuracy, which reflects Rule 2.2 of the authority's broadcasting regulations.
"We expressed regret for this and we agree with Ofcom's decision in full. We will comply with the sanction as soon as the schedule and wording are finalised."
