Combine first 5 ingredients; shape mixture into 1-inch balls.
Brown meatballs, in batches, in a large nonstick skillet over medium-high heat. Remove meatballs from skillet, and wipe skillet clean. Stir together ketchup and next 4 ingredients in skillet; bring to a boil.
Add meatballs, reduce heat, and simmer 5 minutes or until meatballs are no longer pink.