EQS · Equus Total Return, Inc.

The resignation of BDO as Equus Total Return, Inc.'s independent auditors on April 29, 2026, occurred without any disagreements on accounting matters, and their reports on the 2024 and 2025 financial statements were unqualified. However, previously disclosed material weaknesses in internal controls over portfolio investment valuation—specifically management's review of data completeness and accuracy for fair value ranges—and controls for measuring complex transactions like warrants remain notable. These control deficiencies, detailed in the 2025 10-K, did not lead to misstatements but highlight potential risks to financial reporting accuracy in affected accounts and disclosures. The Audit Committee discussed these with BDO, and the firm has been authorized to respond to the successor auditor. BDO confirmed agreement with the 8-K disclosures in their May 4, 2026 letter (Exhibit 16.1), reducing immediate concerns over disputed accounting practices but underscoring the need for Equus to address control weaknesses and appoint a new auditor promptly.