The reaction mechanism is that of the related Hofmann degradation. 
At first the carbonic acid amide (1) reacts with the sodium hypochlorite. After separate water and chloride an amine with a free bond is built 2. The intermediate (3) is generated by rearrangement. At this point two different mechanisms are possible. In the mechanism above two methanol molecules reacts with the intermediate. So is the compound (4) generated. After this carbon dioxide, water, ammonium and methanol are separated in different steps. At least it is protonated into an aldehyde (5).
Until the intermediate (3) the mechanism is the same like above. Then only one methanol-atom is added 4. With a protonation water, methanol and carbon dioxide are separated. An ammonium ion (5) is generated. During the hydrolysis a hydroxylic group is built 6. An aldehyde (7) is generated by separating an ammonium ion.