In a pot over medium heat, add the olive oil and garlic. Cook for about 2 minutes or until fragrant, but not browned.
2. Step
Add the tomatoes with their juice, and crush with the back of a spoon.
3. Step
Add the onion and salt, and stir occasionally. Bring to a boil, then reduce to a simmer for an hour.
4. Step
Discard the garlic and onion, then puree to the desired consistency with a food mill or immersion blender.
5. Step
Transfer the sauce back to a pot and add the bay leaf, dried oregano, and dried basil. Bring to a simmer for about 90 minutes or until the desired thickness.
6. Step
Discard the bay leaf, add the fresh basil and, to taste, salt, pepper, and sugar.