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In a large pot, cook ground beef, onion, and garlic over medium heat until well browned. Stir in crushed tomatoes, tomato paste, tomato sauce, and water. Add sugar, basil, fennel seeds, Italian seasoning, 1 teaspoon salt, pepper, and 2 tablespoons parsley. Simmer, covered, for about 1 1/2 hours, stirring occasionally.
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Cut a thin slice off the top of the bread loaf. With your hands, remove the insides of the loaf. Spread garlic butter all along the inside of the loaf. Reserve about 1 tablespoon of butter for later.
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Bring a large pot of lightly salted water to a boil. Cook lasagna noodles in boiling water for 8 minutes. Drain noodles, and rinse with cold water. In a mixing bowl, combine ricotta cheese with egg, 2 tablespoons parsley, and 1/2 teaspoon salt.
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Preheat oven to 375 degrees F.
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Place a thin layer of meat sauce along the bottom of the bread loaf. Add a layer of lasagna, cutting sheets accordingly to cover the diameters of the loaf. Spread the ricotta mixture on top followed by some mozzarella and parmesan cheese. Continue these steps until the lasagna noodles are finished or until you have reached the top of the loaf.
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Place the lasagna loaf on a baking sheet and cover completely with tin foil, ensuring the tin foil is not touching the cheese. Bake for 35 minutes. Remove the tin foil and brush the outside of the loaf with remaining garlic butter. Cook uncovered for another 10-15 minutes or until the loaf is nicely browned. Allow lasagna to cool for 10 minutes before serving. Enjoy!