MEATBALLS:

2 eggs
1/2 c. milk
3 slices white bread, crumbled
2 lbs. ground beef
1/2 c. chopped onion
2 tbsp. chopped parsley
1 clove garlic, crushed
1 tsp. salt
1/2 tsp. pepper

SAUCE:

1/4 c. olive oil
1/2 c. chopped onion
2 cloves garlic, crushed
2 tbsp. sugar
1 tbsp. salt
1 1/2 tsp. dried basil leaves
1/2 tsp. fennel seed
1/4 tsp. pepper
1 (2 lb. 3 oz.) can tomatoes
2 (6 oz.) cans tomato paste
Parmesan cheese

Make Meatballs: Preheat oven to 450 degrees. In medium bowl, beat eggs. Add milk and bread; mix well. Let stand 5 minutes. Add beef, onion, parsley, garlic, salt and pepper; mix until well blended. Shape into 24 meatballs, 1 1/2" in diameter. Place in greased shallow baking pan.

Bake, uncovered 30 minutes.

Make Sauce: In Dutch oven saute onion and garlic in hot oil, until golden. Add remainder of sauce ingredients and 1/2 cup water, mashing tomatoes with spoon or in blender. Bring to boiling. Reduce heat and simmer, covered, 1/2 hour. Add meatballs and drippings; simmer, covered 1 hour longer, stirring occasionally. Serves 6.