Preheat oven to 325° F. Place nectar, crushed cookies, vinegar, ketchup, sugar, 1/2 tsp salt, 1/2 tsp pepper and onion in blender; cover. Blend until smooth. Combine milk, egg, garlic powder, remaining salt and remaining pepper in large bowl; stir in beef and cereal.
Form into 1-inch balls. Heat vegetable oil in large skillet over medium-high heat. Brown meatballs a few at a time; transfer to shallow 2-quart casserole. Repeat with remaining meatballs. Drain oil from skillet; add nectar mixture to skillet.
Cook over medium-high heat, stirring frequently, for 2 minutes or until thickened. Pour over meatballs; cover. Bake for 30 to 35 minutes or until meatballs are no longer pink in center and sauce is bubbly. Transfer to chafing dish for serving.
Servings: 4 dozen