Place 1/4 of potatoes in greased oven dish. Sprinkle 1/4 teaspoons of salt and 1/4 teaspoons pepper. On the 2nd layer, sprinkle half of the nutmeg and half of the cheese along with 1/4 tsp salt and 1/4 teaspoons pepper. Sprinkle 1/4 teaspoons salt and 1/4 teaspoons pepper, only on the third layer. And the fourth and final layer will receive the remainder of the nutmeg, salt and pepper.
Pour the cream over the potatoes making sure that it covers the potatoes completely. If it does not, add milk to assure complete coverage. Sprinkle the remainder of the cheese on top.
Bake for approximately 1:15 hours Check potatoes; a fork should go in easily and the potatoes are soft.