Melt butter in hot milk, add 1 tsp sugar and salt. Allow to cool.
Beat in yeast, nutmeg, eggs, remaining sugar, and 3 cups flour.
Add rest of flour (dough will be sticky).
Knead for 5 minutes then allow to rise for 1-1 1/2 hours.
Roll out dough, cut into shapes.
Do not re-roll dough, then allow to rise for 30-45 minutes.
Heat oil to 365° and fry 1 - 2 minutes on each side or until brown. Toss in the doughnut holes first, let those cook, and then proceed to cooking the donuts.
Let them cool on a paper towel - helps get the glaze to stick.