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Soak cod in water for 12 to 24 hours, changing water twice or more times until water is no longer salty. Drain and dry. Cut cod in small pieces.
Place cod in a saucepan with the oil, garlic, parsley, nutmeg and paprika. Bring to a boil and when cod pieces are fried and golden add milk and stir. Cook until fish is tender.
Add parmesan cheese, to taste. Dilute cornstarch in ¼ cup water and gradually add it to the fish while stirring. Cook until sauce thickens.
Serve hot, and sprinkle with grated parmesan cheese. Sprinkle with chopped parsley.
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