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Wash (but do not skin) the potatoes, and quarter them lengthwise (so that, after cooking, they can be grated into the longest shreds possible).
Bring 8 cups of water to a boil and then add the potatoes.
Let boil for 10 minutes so that the potatoes are not cooked through.
Immediately submerse the hot potatoes into cold water, and let them cool for at least 30 minutes.
Grate the potatoes into long strips.
Mix together in a bowl the milk, cream, salt, pepper and nutmeg.
Preheat a large frying pan over medium heat and then add the potatoes and liquid mixture.
Fold them together well but gently, without mashing the potatoes, and cook for 10 minutes, mixing lightly occasionally so that they do not burn.
Remove from the stove and fold in 1 tablespoon of the cheese.
Transfer the potatoes into a pre-buttered baking dish and arrange evenly.
On top, sprinkle the remaining 1 tablespoon of cheese.
Preheat the over to 425F.
Place the uncovered baking dish into the upper-third of the oven, and bake for 6 minutes or until lightly browned.
Serve immediately, garnished with minced chives.