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Heat vegetable oil in a skillet, add chopped onion and garlic and cook until tender. Reserve.
Soak bread cubes in milk and set aside for 10 minutes. Drain bread to eliminate excess of milk and discard milk. Place bread on a large bowl and add ground beef, eggs, onion and garlic mixture, parmesan cheese, parsley, salt, pepper and thyme.
Transfer to a food processor and process ingredients until mixture is soft. Form 2 inch balls (5 cm) and place them in a previously greased ovenproof dish.
Bake in preheated oven at 350°F (180°C) for 30 minutes. Remove from oven and cool slightly. Dredge meatballs in flour, shaking off excess.
Melt butter and olive oil in a large skillet and brown meatballs in batches. Remove from skillet as soon as they are browned. Return all meatballs to skillet and add red wine and tomato paste. Bring to a boil, stirring occasionally until wine slightly thickens. Add beef broth and lower heat. Bring to a boil, stirring until sauce is reduced and thickens. Correct seasoning.
Before serving transfer meatballs and sauce to a serving dish and sprinkle with parsley.
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