With the iron hunk still clasped in its jaws I would have to think something else. Maybe a handle for jewelers files. It looks like a baby to the handles that I have for my big metal and wood files. The metal self adjusting clamp in the ones I have ride in the handle attached to the opposite end of the clamp, the sleeve is twisted tightening the jaws on any file at hand. This is just my guess. Arty
I'd guess that the two flat parts inside the handle is to hold a square tang from something else. The recessed area at one end probably had a ferrel on it.