Heat oven to 350°F. Spray 8-inch square (2-quart) glass baking dish with nonstick cooking spray. In medium bowl, combine ground beef, onion, salt and pepper; mix well. Shape mixture into 12 meatballs; place in sprayed baking dish.
In medium bowl, combine all remaining ingredients except parsley; mix well. Pour over meatballs. Cover tightly with foil.
Bake at 350°F. for 1 1/2 hours or until rice is tender. Let stand 10 minutes before serving. Sprinkle with parsley.