Combine sugar, cornstarch, and nutmeg in a medium mixing bowl; add eggs, beating until well combined. Add milk, raisins, rice, and vanilla, stirring well. Pour mixture into a greased 8 - inch square pan. Place prepared pan in a 13- x 9- x 2-inch baking pan; add boiling water to a depth of 1 inch.
Bake at 325° for 1 hour or until a knife inserted in center comes out clean. Spoon into individual serving bowls. Serve hot.
Note: This is a good recipe for using leftover rice.