Neither, it is going to EU taxpayers in the form of paying for investments into the EU and paying for EU institutions.
Who selects the institutions that receives the money? Let me guess, it is politicians.
Who do you want decide that? Someone unelected?
If they are collecting fine as a percent of "global revenue", they should divide it proportionally. Why is EU claiming its share in something they are not involved in.
EU, the institution - in other words the European taxpayers. Politicians don't get a cut.