Place cloves and peppercorns on a double layer of cheesecloth. Gather the edges of cheesecloth together; tie securely to form a bag.
Combine water, sugar, and vinegar in a saucepan; bring to a boil. Add cheesecloth bag, papaya, raisins, ginger, hot pepper sauce, and coriander; reduce heat, and simmer 35 minutes or until liquid is absorbed. Remove from heat; let stand 5 minutes. Discard cheesecloth bag. Spoon chutney into a bowl; cover and chill.