A senior executive at American risk advisory firm Kroll has been barred from leaving mainland China, the latest example of Chinese authorities imposing exit bans on the employees of foreign firms.

Michael Chan, a Hong Kong-based managing director who specializes in corporate restructuring, is assisting an investigation into a case that dates back a few years, according to people familiar with the matter. Neither Chan nor Kroll is the target of the investigation, the people said.

Chan traveled to the mainland in July and subsequently informed his employer that he can’t leave. A Hong Kong passport holder, Chan can move freely in mainland China and is still working, the people said.

Chan declined to comment.

China’s Ministry of Public Security and the National Immigration Administration didn’t immediately respond to queries sent Friday, which marked the start of a roughly weeklong national holiday.

Kroll is one of many foreign companies that provide corporate investigation and advisory services to clients in China. These firms have faced tight scrutiny this year, fueling uncertainty about the risks of foreign companies doing business in China.

In March, authorities raided the Beijing offices of Mintz Group, detaining all five of the New York-based due diligence firm’s staff members on the mainland.

Authorities also questioned staff at consulting firm Bain & Co.’s Shanghai office in a surprise visit, while Chinese state media publicized a law-enforcement probe against Capvision, an expert network consulting firm founded in China that counts foreign businesses as clients. Capvision’s offices in several Chinese cities were raided by police who were probing activity that allegedly contravened national security regulations.

Chinese authorities often place exit bans on people who are being investigated or who are assisting with government probes. They have imposed these bans on both Chinese and foreign nationals. People targeted typically don’t know about their exit bans until they try to leave the mainland.

A senior Hong Kong-based investment banker at Nomura recently told his employer that he can’t leave mainland China. He has been cooperating with an investigation related to a company he used to work for, according to people familiar with the matter.

Western officials and human-rights groups say exit bans have become more common in China, with such travel restrictions used to facilitate criminal probes, intimidate dissidents, or even create leverage in disputes with foreign companies and governments. Exit bans can last for months or even years as the investigations that prompt the restrictions drag on.

Such tactics contributed to the U.S. State Department’s advice to reconsider travel to China due to its arbitrary enforcement of laws. China rejects that characterization as politically biased.

Chan has long experience working on insolvency and restructuring cases, which often includes helping creditors recover money by identifying assets. He previously worked for Borrelli Walsh, a firm that specializes in restructurings and insolvencies, which has worked on multiple deals in China. Kroll acquired Borrelli Walsh in late 2020.

Kroll has offices in five Chinese cities, including Beijing, Shanghai and Hong Kong, where it offers advice on corporate finance, restructurings and risk management. It also conducts corporate investigations for clients, according to its website.

The raid on Mintz’s Beijing office was preceded by an exit ban placed on one of its employees, a Singapore national who was blocked from leaving China in mid-January. The person wasn’t given a reason for the restriction, and she also wasn’t arrested or accused of any wrongdoing, The Wall Street Journal previously reported. This person was able to leave China weeks later, with help from Singapore’s Foreign Ministry.

Chinese authorities later imposed roughly $1.5 million in financial penalties on Mintz’s Beijing arm for allegedly conducting unapproved statistical work.

Write to Rebecca Feng at rebecca.feng@wsj.com and Chun Han Wong at chunhan.wong@wsj.com