In addition to the losses from closing my position, I also see money was sent in transfers. What are they for and where do they go?

Whenever an account is liquidated, in addition to having your position closed with a penalty, you will be charged liquidations fees. These liquidations fees are proportional to the risk that was removed from your account, and they go to two essential elements of the system: the insurance fund, which is a rainy day fund used (and only used) to cover insolvencies; and the passive pool, which works as a backstop to all liquidations whenever conditions require it.