Steven LaPenna

Steven’s professional experience includes:

• Assisted outside counsel for a multinational insurance company in developing damages resulting from claims of fraud, breach of fiduciary duty, and civil RICO in a dispute with a life settlement originator. Led a team of consultants in developing the damages theories, quantifying damages, and developing expert reports and trial testimony.
• Led teams for multiple bank defendants in federal court actions brought by mono-line insurers, or investors related to certain mortgage-backed securities acquired during the 2008 economic crisis. The underlying loans in the securities were evaluated to identify whether certain representations and warranties made by the originators of the loans were breached.
• Assisted the US Department of Justice (DOJ) in connection with its defense of an unconstitutional takings and illegal exaction claim brought by a minority shareholder of one of the largest financial services companies in the world.
• Supported outside counsel for a national mortgage servicer in a class action alleging breach of contract relating to claims that borrowers failed to receive permanent loan modifications under the federal Home Affordable Modification Program (HAMP). Developed and applied an analytical framework with which to assess any net economic benefits the class members received as a result of entering into trial period plans (TPP).
• Assisted outside counsel(s) for several directors and officers of a failed community bank in defense of a federal indictment alleging mortgage fraud. Analyzed the unprecedented economic meltdown during the financial crisis and the impact on banks with similar asset and liability profiles as support for an expert report and trial testimony.
• Assisted outside counsel for a mortgage servicer in dispute with a hedge fund concerning allocation of rights among stakeholders in securitized mortgage trusts. Specifically analyzed the duties and activities surrounding the mortgage servicer’s disposition of 2,000+ REO assets over a five-year period and the associated impact of those liquidations on the performance of four mortgage-backed securities.
• Evaluated the bankruptcy servicing practices for one of the nation’s largest residential mortgage lenders in response to multiple government investigations. Designed and directed a large team review in order to investigate the mortgage default servicing practices which included a comprehensive forensic review of relevant servicing data and activities alleged to be deficient, including a detailed review of loan documentation, bankruptcy filings, and trustee disbursements in a statistically valid sample of loan files.
• Performed analyses in support of malpractice claims against the accountants for a failed financial institution. Responsibilities included the assessment and analysis of a sub-prime lender’s accounting methodologies and assumptions pertaining to its complex securitization portfolio, interviewing appropriate personnel, and review of accounting runs and cash flow models to evaluate the underlying methods and assumptions.