With AxCrypt 2, this is not the way to go ;-)
Here’s how you should do it (let’s forget the recursive issue for now):
Place the files in three different folders “All”, “Restricted” and “Executive”.
Set these up as secured folders in AxCrypt 2. Then for each of the folders, add each user e-mail that should have access under the “Key Sharing” option.
Each user will then have access to all the files he or she should, and with their own password.