Char red bell pepper over gas flame or in the broiler until blackened on all sides. Wrap in paper bag and let stand 10 minutes. Peel, seed and slice pepper into 1/2 inch wide strips.

Preheat oven to 350 degrees. Heat 1 tbsp. Olive oil in heavy large skillet over medium high heat. Add spinach and toss until just wilted, about 2 minutes. Transfer spinach to small bowl. Add remaining 1 tbsp. Olive oil to skillet, then onions and garlic; saute until onions are tender, about 5 minutes. Transfer onion mixture to large bowl. Stir breadcrumbs, eggs, basil, ketchup, thyme, mustard, steak sauce, 1 1/2 tsp. Salt and 1/2 tsp. Blackpepper into onion mixture. Mix in veal.

Place half of veal mixture in 9x5x3 inch metal loaf pan. Using back of spoon, make 1 inch wide, 1/2 inch deep canal lengthwise down middle of loaf. Lay half of red bell pepper strips in canal. Layer with spinach and remaining bell peppers. Fill pan with remaining veal mixture, pressing firmly.

Bake meat loaf until brown on top and thermometer inserted into center registers 160 degrees, about50 minutes. Let cool 15 minutes. Cut into 8 slices and serve.