MCKEON BROTHERS JOIN UPSCALE FURNITURE DEALER.

Byline: Jason Takenouchi Staff Writer

SANTA CLARITA - Two of the five McKeon brothers who owned the now-defunct Howard & Phil's Western Wear chain are now top employees in an upscale furniture store in Bakersfield that is exploring an expansion in Santa Clarita.

Joseph B. and Timothy McKeon help operate Thomasville Home Furnishings, a furniture chain with independently run stores across the country, according to interviews and state filings.

The abrupt failure of Howard & Phil's last year pushed the two brothers into Chapter 7 bankruptcy and left millions of dollars in unpaid debts, including nearly $400,000 in sales taxes owed to the state and thousands of dollars in unpaid wages.

One of the brothers, U.S. Rep. Howard P. ``Buck'' McKeon, R-Santa Clarita, was 20 percent owner of the firm but has said he was not involved in its management after 1992.

In a phone interview with the Daily News, Joseph B. McKeon said he and his brother Timothy are just employees of the Bakersfield branch of Thomasville. He said a corporate investor - whom he declined to name - is the licensee and full owner of the Bakersfield operation.

``It's not a family-run business,'' he said. ``Tim and I work for it.''

But according to filings with government agencies, the McKeon family is heavily involved with the Thomasville operation. Joseph Waite McKeon, a relative of Joseph B. McKeon, is listed as the president of TJ 3 Styles Inc., the corporation that runs the store. Daniel McKeon, Joseph B. McKeon's son, is listed as vice president of TJ 3 Styles, according to the state Board of Equalization.

Joseph B. McKeon said he is in charge of marketing, and his brother Timothy is a bookkeeper for the firm.

Robert Freitas, a lawyer for Coast Business Credit, Howard & Phil's largest creditor, said the new business may mean the brothers have additional capital and income to pay off the debts they are trying to discharge in bankruptcy court.

``There'd be a suggestion that they would have some money available to satisfy their obligations,'' Freitas said. But he said Coast would have to succeed in its challenge to the brothers' bankruptcy filings for the Thomasville situation to make a difference.

Coast claims Howard & Phil's owes it more than $2.9 million; the company has already filed adversary proceedings in the bankruptcy cases for Joseph B., Monte B. and Timothy McKeon.

The new furniture store opened last December as Thomasville Home Furnishings of Bakersfield, and Joseph B. McKeon said he began working there in mid-December. He confirmed that the owner of the store is exploring an expansion into Santa Clarita, but he said no decision has been made.