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In the wake of the Wells Fargo scandal, Federal Reserve Governor Daniel Tarullo on Friday said individuals responsible for banks' inappropriate actions should be held responsible in addition to banks paying fines.

Wells Fargo on Thursday was ordered to pay a total of $185 million – including a $100 million fine from CFPB, the largest fine set ever by the bureau – for allegedly secretly opening unauthorized deposit and credit card accounts for consumers to boost sales figures.

"What I have seen is that too many banks – instead of putting in place a comprehensive system for assuring that all their employees understand what is legal and ethical across the board – only respond when there's a particular problem," Tarullo told CNBC. "And for banks that are in that situation, they really need to change."

"There is a need, I think, for a focus on individuals as well as the fines put on the institutions," he continued. "In inappropriate cases, I think that fines for individuals, prohibition orders [and] Justice Department prosecutions are things that do need to be pursued in order to make the point that there is individual culpability as well as collective."

Wells Fargo is also being ordered to pay restitution to the victims, to pay $50 million to the city and county of Los Angeles and to pay $35 million to the Office of the Comptroller of the Currency. The $100 million CFPB fine will go to the bureau's Civil Penalty Fund.

Wells Fargo also fired 5,300 employees involved in the offending behavior, according to the consent order.

CFPB said thousands of bank employees opened more than 2 million deposit and credit card accounts without permission in order to collect fees and other charges.