In a skillet over medium heat, sweat the onions in butter. Throw in the ground beef and crumble brown it. Season with salt and pepper. Remove the beef/onion mixture to a pyrex baking dish with a slotted spoon. Degrease the pan, then deglaze it with wine.
Add the tomato sauce and hot sauce to the beef/onion mixture. Stir. Add the reduced wine to the dish. Throw in the drained macaroni. Stir in the cheddar cheese. Pour in the milk. Sprinkle in the nutmeg and salt and pepper to taste. Stir very well.
Bake in the oven for 35-40 minutes or until most of the liquid evaporates. Allow to rest for 15 minutes. Cut into squares for serving.