How to update ACL permission on placeholders created by CFAPI (Cloud Filtre API)

Trying to experiment on creating a VFS (Virtual File System ex OneDrive sort of) on windows using CFAPI (Cloud Filter Win32 API), this VFS basically replicates the cloud file system on the local desktop.

I need to update the ACL permissions on placeholder file/folder created on the VFS mount post I detect the chnage in ACL on specific directory in cloud. What are possible ways to update the ACL? Is it possible if I update it on parent it will percolate down to its children recursively? If possible please let me know how to do that.