The company says everyone should have more information and control over the data Facebook receives from other websites and apps that use its services. Employees were reportedly told to pack up and leave their offices immediately.
The firm was linked to Donald Trump's presidential campaign in 2016 and the Leave.EU campaign of the same year.
The latest notice by the government had also flagged the "cryptic and evasive" reply given by Cambridge Analytica to the first notice.
Facebook is now investigating the breach internally, while the UK's Information Commissioner is conducting an independent investigation.
The company opted for a shutdown following waning confidence from its clients.
Cambridge Analytica bosses could still face sanctions if found to have breached data laws despite the collapse of the controversial firm, the information watchdog has said. Hours before the news broke, Facebook cut Cambridge Analytica and SCL off from its platform.
"Over the past several months, Cambridge Analytica has been the subject of numerous unfounded accusations", the statement reads.More news: HTC U12+ may be launching in May 23 and not U12
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As a result, it is determined that it is no longer viable to continue operating the business.
The said statement further confirms that Bankruptcy proceedings will soon begin for Cambridge Analytica.
Damian Collins, chair of the House of Commons select committee for Digital, Culture, Media and Sport (DCMS) which is conducting its own investigation as part of a wider inquiry in fake news, said: "Cambridge Analytica and (parent company) SCL Group can not be allowed to delete their data history by closing".
"There's an interest here in seeing if wrongdoing has occurred and people should be able to go after the wrongdoers and they should face whatever penalties they need to face", Collins said.
He added: "My findings entirely reflect the amazement of the staff, on watching the television programmes and reading the sensationalistic reporting, that any of these media outlets could have been talking about the company for which they worked".
The company has studied such an option in the past, but now there's more internal momentum to pursue it in light of Facebook's recent privacy data scandal, the people said. Kogan's company Global Science Research (GSR) made the purchase in 2015, when it was granted one day of access to five months of tweets. It collected data from any user who took it, along with their friends.
Zimmer's request comes after Upguard, the American digital security firm where cyber risk analyst Chris Vickery is a director, sent a letter to government officials warning about the potential loss of data. And it is not yet known how many Facebook users live in Pennsylvania in total.