There is something important: the [edit]
Venturi effect statement the velocity area relation [/edit] is
not about a
local velocity, it is about the
average velocity. So, the
average velocity (averaged over the entire inlet) at the inlet is related to the
average velocity at the outlet by their areas.
So, the relation ##\bar{V}_{in} A_{in} = \bar{V}_{out} A_{out}## is actually about volume flow (cubic meters per second). The volume flow of air into the nozzle has to equal the volume flow of air out of the nozzle. This, on its turn, is equal to stating that the amount of mass into the system has to equal the amount of mass out of the system. This statement about mass is true because we assumed incompressibility (actually, that is not necessary, you can also regard a compressible flow not changing in time (i.e. steady state), then the amount of mass into and out of the system also has to be equal as well).
That mass is conserved is explicitly stated in the continuity equation (which is usually regarded as part of the Navier-Stokes equations), this equation is validated in literally every fluid flow measurement that has ever been performed. If you 'disprove' it, you need to explain where the mass went... It is probably easier to find flaws in the setup.
Your setup is very flimsy, the velocity at the inflow of the nozzle is blocked because the air would rather spill along the sides of the nozzle, than accelerate through it (which requires static pressure as
@russ_watters already pointed out). The smaller the outlet area, the more air is spilled along the sides. You assume that the inflow velocity into the nozzle is equal to the free stream velocity of the fan, which is far from true.