In thread below this system was mentioned as being similar to the Pellaton wonding of the IWC. A post by Eightohms was referenced where some descriptions and diagrams were offered. I thought this video may help - this is from a Seiko 6309A I serviced some time ago and it shows the magic lever at work.
First though here is a shot of the mechanism - sorry this is before cleaning so please ignore the dirt.
And from the other side - you can see where the rotor is attached.
And the video of it in action.
I hope you find this useful. Here is the watch...it was in rough shape when I received it.
Yes that watch had seen a hard life indeed. The original owner was a missionary working in Rwanda, and my customer had gone there to assist in this work for a few weeks. He noted that the missionary wore this watch that did not actually function, and offered to swap his watch (another Seiko 5) for the non-functional watch. He then brought me this Seiko for servicing.
His desire was to keep the outward appearance of the watch the same as when he received it, to remind him of the circumstances of where the watch came from. This was by far the dirtiest watch I have ever serviced, but when the service was complete the watch ran very well.
I will try to locate and post the Seiko explanation of the Magic Lever. It is a mad cartoon, with a CHOOO CHOOOO! train. Amusing, but also great way to convey info. Can't see IWC doing it that way, though.