No, the law is not violated. Nothing is left in the beaker because every product of the combustion is a gas, and in an open beaker the gases float away. The matter has moved, not disappeared.
Ethanol burns in the oxygen of the air:
Now do the mass accounting. Take H = 1 u, C = 12 u, O = 16 u.
Oxygen used: 3 O₂ = 3 × 32 u = 96 u, so for 10 g of ethanol
Mass of O₂ = 10 g × 96 ÷ 46 = 20.87 g
Carbon dioxide formed: 2 CO₂ = 88 u → 10 g × 88 ÷ 46 = 19.13 g
Water formed: 3 H₂O = 54 u → 10 g × 54 ÷ 46 = 11.74 g
Total mass of products = 19.13 g + 11.74 g = 30.87 g
Mass of reactants = Mass of products ✓
So the balance would have shown a fall — but only because 30.87 g of gas has drifted out of the beaker while 20.87 g of oxygen quietly came in from the air. Neither of those crossings was weighed.