Yes it is legal, she can appoint anyone she wants to. A new POA usually revokes all preceding POA's. The only way you can challenge that is if she is certifiably incompetent as determined by a Judge.
Neither a financial POA or a health POA is irrevocable. If your sister executed a new one, the old one is invalid. Its not that unusual to change poa's.
If you sister executed a new medical POA, then it supercedes the previous one given to your other sister, unless there was fraud when this non-relative became involved. Did your sister sign a new medical POA for this non-relative? Does she have any mental condition that would impair her judgment?
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