Process ham in a food processor until coarsely ground; add pork and next 5 ingredients, and pulse to combine. Cover and chill 1 hour. Shape into 1-inch balls.
Cook balls, in batches, in 2 tablespoons hot oil in a large skillet over medium heat 3 minutes on each side or until lightly browned, adding oil as needed. Place in lightly greased 13- x 9-inch baking dish.
Combine brown sugar, 1/2 cup water, and next 2 ingredients in a large saucepan over medium heat; cook about 5 minutes or until thoroughly heated. Pour sauce over balls.
Bake, covered, at 350° for 20 minutes. Uncover and bake 30 more minutes.