Melt butter in sauce pan. Add green pepper and garlic and cook until green pepper is slightly tender. Stir in flour until moistened by butter. Add milk, salt, and remainder of seasonings. Add sugar. Heat until sauce starts to thicken. Remove from heat and stir in 1/2 cup cheddar cheese until melted. Add drained tomatoes. Heat until mixture thickens again the turn into casserole dish. Add corn and onions. Sprinkle 1/2 cup cheddar cheese on top and bake, uncovered at 350° for 50 minutes. Sauce should be thickened and top flecked with golden brown.