The reaction is initiated by a base that abstracts the carbonyl compound's alpha hydrogen. The carbanion thus formed attacks the selenium atom eliminating the halide group. This reaction is called selenenylation.
The product formed in selenenylation is oxidized using hydrogen peroxide, during which the lone pair on Selenium attacks the oxygen atom removing a hydroxide oxide. An bond is a bond from which the proton is removed.
The bond thus formed is called the selenoxide bond and is highly reactive. The negatively charged oxygen atom abstracts proton, which causes the breakage of the Se-C bond, forming -carbonyl compound.
The mechanism of the reaction can be given as:

Mechanism of selenenylation-oxidation