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.

The investigation into Cambridge Analytica and the firm's harvesting of data will continue despite the political analysis company declaring bankruptcy.

Information Commissioner Elizabeth Denham said she had the power to fine directors and get them banned from running other companies.

Cambridge Analytica, which worked on Donald Trump's US election campaign, sustained severe criticism over its use of data gathered from millions of Facebook profiles.

It announced it would be shutting down on Wednesday, claiming the coverage of the scandal has driven away customers.

The Information Commissioner's Office (ICO) was investigating the firm as part of a wider probe involving social media companies, data analytics firms, political parties and campaigns.

"We need to get to the bottom of how personal data is used to target the public and target individuals," Ms Denham said.

"We will continue our investigation, both our civil investigation and our criminal investigation.

"What we need to do is get to the bottom of this issue on behalf of the public and we will do that - we do have the mechanisms to pursue individuals and directors even if the company is no longer operating."

"We have been in this situation before where companies go into receivership or liquidation to avoid a sanction or avoid investigation and we have been successful in pursuing directors, in pursuing our investigation.
"We also, through the Insolvency Service, can collect fines, we can also ensure that directors are disbarred from serving on other companies.
"We can follow the data."

Ms Denham said senior figures in Facebook had "so far" been co-operating with the inquiry.

The closure of the company comes in the wake of rising legal costs in the Facebook investigation and the loss of clients following revelations about the firm in March.

Mr Zuckerberg has said it was a mistake to rely on Cambridge Analytica to delete tens of millions of Facebook users' data and has apologised for the "major breach of trust".

Up to 87 million people may have had data harvested by an app which was then acquired by the company, according to Facebook.