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The report, which was published on Monday afternoon, said had those involved in his hiring known what they do now, Mr Bashir “would have never been reappointed”.
While BBC bosses who rehired Bashir were told he had faked documents, the report says they considered the allegations were “spent” because Princess Diana had provided a handwritten letter to say she had not been misled.
Current BBC director-general Tim Davie said the corporation would reflect on the findings.
The MP who chairs the Commons culture committee, Julian Knight, said it was concerned by the report, asking: “Where was the due diligence?”
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