You need to do the MVC template thing to customise the design, and thus get rid of the black box:
www.joomlaworks.net/extensions/free-premium/allvideos
So you can either choose to use the versatile base styling of the plugin or simply override it (both the HTML and CSS code) by copying the plugin's folder /plugins/content/jw_allvideos/tmpl/Classic in Joomla! 1.5 or the folder /plugins/content/jw_allvideos/jw_allvideos/tmpl/Classic in Joomla! 1.6 or newer TO your Joomla! template's /templates/YOURJOOMLATEMPLATE/html/jw_allvideos/ folder (create it if it doesn't exist), as you would with components and modules.
and then edit the margin/padding in CSS file you've moved. Simples.