Swedish Turkey Meat Balls

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For the meatballs:

1/4 to 1/3 cup vegetable oil

1 medium onion, finely food processed

10 ounces challah bread, food processed to crumbs (about 3 1/2 cups)

1 large egg

1/2 teaspoon ground allspice

2 teaspoons salt

25 grinds freshly ground black pepper

1 3/4 to 2 pounds ground turkey

For pan sauce:

1 tablespoon butter

10-ounces button mushrooms, sliced

1/3 cup medium-dry sherry

1 cup chicken stock

1/4 cup instant flour (Recommended: Wondra)

1 cup half-and-half

2 teaspoons Worcestershire sauce

2 bay leaves

Salt and freshly ground black pepper

1/4 cup tart berry preserves, such as cherry or cranberry