To prepare, pit and peel the peaches. Chop the fruit into small cubes (about 1/4-inch thick). Peel and clean the papaya, remove the seeds, and chop into small cubes as above.
Combine in a medium bowl the margarine, cinnamon, and apple juice and blend well. Add the peaches and papaya and toss lightly. Preheat the grill for 3 minutes. Grill the fruit for 2-3 minutes, or until the fruit is warm and lightly glazed.