Meatballs with Pepper Sauce

1 cup evaporated milk
1 tablespoon Worcestershire sauce
1 envelope onion soup mix
2 pounds ground beef

Sauce
1/2 pound fresh mushrooms, sliced
1-1/2 cups ketchup
3/4 cup packed brown sugar
3/4 cup water
1/2 cup chopped green pepper
1/2 cup chopped sweet red pepper
2 tablespoons chopped onion
1 tablespoon Worcestershire sauce

In a large bowl, combine the first three ingredients. Crumble beef over mixture and mix well. Shape into 1-in. balls. Place on a greased broiler pan. Broil 4-6 in. from the heat for 5-8 minutes or until browned.

In a Dutch oven, combine the sauce ingredients. Bring to a boil. Reduce heat; add meatballs. Simmer, uncovered, for 1 hour or until the meat is no longer pink. Enjoy them served over rice or noodles. Makes 60 meatballs.