Meatballs in Kraut Casserole

1 1/2 pounds ground chuck or round
1/2 cup dry rice, divided
1 teaspoon caraway seed (optional)
1/4 to 1/2 cup minced onion
2 teaspoons dried parsley
1 egg
Salt and pepper to taste
2 (1 pound) bags sauerkraut

Mix well by hand and make meatballs the size of ping pong balls.

Drain kraut, saving juice.

Put half the kraut in a large deep casserole with half the drained juice. Sprinkle 1/4 cup rice over the kraut, with caraway seed, if desired. Place meatballs on kraut and add another handful of rice. Cover meat with remaining drained kraut and carefully pour water into casserole until it can just be seen under the kraut. Cover and bake at 375 degrees F until kraut is beginning to brown and rice and meat are tender.

Serve with mashed potatoes and hearty bread and butter.