Open Eyes I am so sorry to read this. This was not only illegal but she tried to implicate you in a crime she did!!
In my opinion there may (or should) be shame involved but mostly she is probably lying to save her own skin and I am sad to say possibly spiteful towards you.
I am not from the U.S. I am not familiar with your laws. What I can say is in the UK POA does not give a person the right to use the person's money for the attorney's own gain - there are controls and limits.
In the UK this crime is called 'financial abuse' and as such the police would pursue it (without personal cost of a civil action). I don't know if this is the case in the U.S.
Hugs. It's hard enough coping with bereavement without this too.
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