Excellent device!
A slightly similar but simpler version made, I think, for capstan lathes, uses two bearing races on arms adjusted by simple screws, with the intervening tool also manually adjusted, on the same body. There is no wedge mechanism.
The rollers are set to follow the turned diameter, and it does need re-setting on each pass, so the tool is perhaps for lightly skimming small-diameter stock bar to a definite diameter, e.g. before screw-cutting, especially on threads with crest diameters not to stock rod sizes.