Rotation problems with .bvh import

I have been struggling with importing .bvh files to a armature for months. I have found that the key is properly mapping the bones to the performer rig. I have viewed ALL of Benjy Cook’s Youtube videos multiple times. Unfortunately he skips over several key steps in many of the videos. In particular he says in video 3 that he is going to explain what the ik and fk checkboxes do in the interface and he never does. He then goes into advanced retargeting with the Action editor and at one point he pauses the video and then starts it again with a completely different screen setups and never explains what he did to get that.

In anycase. I am having a problem with the attached blend file. After weeks of working with it I finally got the character to walk but the hands are twisted in the wrong position How do I correct that so that the hands are parallel to the thighs when she is walking.