Heat oven to 350.Grease 15 muffin cups, 2 1/2 x 1 1/4 inches.
Mix shortening, 1/2 cup sugar and the egg. Stir in flour, baking powder, salt and nutmeg alternately with milk. Fill muffin cups about 2/3 full. Bake til golden brown, 20 to 25 minutes. Mix 1/2 cup sugar and the cinnamon. Immediately after baking, roll puffs in melted margarine, then in sugar cinnamon mixture.Makes 15 puffs.