The British broadcaster was found to have committed a "major breach" of industry standards by not revealing that the narrator of a documentary about the Gaza situation was the offspring of a Hamas official, as determined by British broadcasting authority Ofcom.
An probe by Ofcom into the documentary titled Gaza: How to Survive a Warzone has concluded that the documentary was "significantly deceptive".
The BBC's director general had earlier expressed regret, stating there had been "a major oversight in relation to truthfulness".
The regulator has ordered the broadcaster to air a peak-time statement about its decisions.
"Since this amounts to a major infringement of our code, we are ordering the BBC to transmit a message of our determinations against it on the BBC's second channel at nine o'clock in the evening, with a date to be confirmed," it said.
'Possibility to Undermine Trust'
The regulator's announcement said: "Our probe found that the programme's omission to reveal that the presenter's parent occupied a post in the Hamas-run government was materially misleading.
"This implied that the public did not have vital facts which may have been extremely pertinent to their assessment of the voice and the content he provided.
"Credibility 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 risk to erode the very considerable amounts of confidence that audiences would have placed in a BBC factual programme about the Gaza conflict."
The programme was pulled from iPlayer in the month of February after the narrator's personal associations were revealed, and in this past July an internal BBC review found it breached the broadcaster's editorial guidelines on truthfulness.
A BBC spokesperson commented: "The regulator's decision is in accordance with the findings of the corporation's inquiry, that there was a major oversight in the documentary in relation to the BBC's Editorial Guidelines on truthfulness, which corresponds to clause 2.2 of the regulator's media standards.
"We issued an apology for this and we agree with the authority's determination in full. We will follow the penalty as soon as the date and language are determined."