PHP - zip with password and setEncryptionName method

I wrote a method with PHP in my Symfony project using ZipArchive() where I want to set password for my zip file.

It's packing the folder with a lot of files so and unfortunately it is unzipping file without requesting password.

I tried it in a simple Zip method and it works, in reference to this link:

I think problem occurs because this method is using RecursiveIteratorIterator.

My method:

private function zipFolder($source, $destination, $password = null) {

  //try it
  $password = 'fdgsrhds565eter543';       

 if (!extension_loaded('zip') || !file_exists($source)) {
     throw new Exception('File does not exist.');
 }

$zip = new ZipArchive();
if ($zip->open($destination, ZipArchive::CREATE | ZipArchive::OVERWRITE) === true) {

    $source = str_replace('\\', '/', realpath($source));

    if (is_dir($source) === true) {
        $files = new RecursiveIteratorIterator(
            new RecursiveDirectoryIterator($source, 0),
            RecursiveIteratorIterator::SELF_FIRST
        );

        foreach ($files as $file) {
            $file = str_replace('\\', '/', $file);

            if (in_array(substr($file, strrpos($file, '/') +1), array('.', '..'))) {
                continue;
            }

            $file = realpath($file);
            if (is_dir($file) === true) {
                $zip->addEmptyDir(str_replace($source . '/', '', $file . '/'));
            } elseif (is_file($file) === true) {
                $zip->addFromString(str_replace($source . '/', '', $file), file_get_contents($file));
            }
        }
    }
} elseif (is_file($source) === true) {
    $zip->addFromString(basename($source), file_get_contents($source));
           }

if (!empty($password)) {
        $zip->setEncryptionName(basename($source), ZipArchive::EM_AES_256, $password);
    }

$zip->close();

}

Base name of the source folder is 'latest' and in my zip file, main folder is called latest_backup. Could this be an issue?

source https://stackoverflow.com/questions/67936663/php-zip-with-password-and-setencryptionname-method