In a deep pot or heavy-bottomed saucepan, heat about 2 inches of vegetable oil to 350°F (175°C).

While the oil heats, whisk together flour, granulated sugar, baking powder, salt, and nutmeg in a large mixing bowl.

In a separate small bowl, whisk the egg, milk, and melted butter until fully combined.

Pour the wet mixture into the dry ingredients and stir gently with a spatula until just combined; do not overmix or the dough will become tough.

Using a small cookie scoop or two spoons, drop rounded tablespoons of batter carefully into the hot oil, frying about 4 to 5 at a time to avoid overcrowding.

Fry for about 2 to 3 minutes, flipping them over halfway through, until they are deep golden brown and cooked through.

Remove the doughnut holes with a slotted spoon and let them drain on a wire rack or paper towels.

To make the glaze, whisk together the confectioners' sugar and maple syrup in a small bowl until smooth. If too thick, add a teaspoon of milk.

Dip the tops of the warm Timbits into the glaze and immediately sprinkle with the crumbled bacon before the sugar sets.