Step 1: Heat oil (2 to 3-inches) to 375°F in deep fryer or 3-qt. saucepan.
Step 2: Mix flour, 1/4 cup sugar, baking powder, salt and nutmeg.
Step 3: Add 1/4 cup oil, milk and egg; beat until smooth.
Step 4: Drop batter by teaspoonfuls into hot oil.
Step 5: Fry four or five at a time until golden brown on both sides, about 3 minutes; drain.
Step 6: Mix 1/2 cup sugar and the 1 teaspoon cinnamon.
Step 7: Roll warm puffs in sugar-cinnamon mixture.
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