In small saucepan, combine sugar & cornstarch. Gradually whisk in water & corn syrup till smooth. Bring to boil. Cook & stir over medium heat 1-2 minutes or until thickened. Remove from heat; stir in gelatin powder till dissolved. Cool to room temperature, stirring several times.
Cut angel food cake into 9 slices. Line 13x9 dish with slices; set aside. In large bowl, beat cream cheese & powdered sugar till smooth. Gradually beat in milk. Set aside 1/3 cup whipped topping for garnish; fold remaining whipped topping into cream cheese mixture & spread over cake. Top with peach slices. Pour gelatin mixture over peaches. Cover & refrigerate at least 4 hours. Cut into squares. Top each square with 1 tsp. whipped topping. Refrigerate left overs.