WASHINGTON — The head of the congressional oversight panel examining the $700 billion rescue package said Friday the U.S. needs to focus on product-based, not rules-based, regulation of the financial industry in order to better protect consumers and restore confidence.

Elizabeth Warren, an outspoken consumer advocate and Harvard Law School professor, compared the current moment to the period following the collapse of Enron Corp. That event lead to the passage of the landmark Sarbanes-Oxley legislation, Warren said, and the current financial crisis represents a similar "regulatory moment."

Subscribe Now

Access to authoritative analysis and perspective and our data-driven report series.

14-Day Free Trial

No credit card required. Complete access to articles, breaking news and industry data.