Combine potatoes and water to cover in a medium saucepan. Cover and bring to a boil. Reduce heat; cover and simmer 20 minutes. Drain; cool slightly, and peel. Cut potatoes into 1/4- inch-thick slices, and set aside.
Sauté onion and bacon in a large skillet just until bacon is limp. Add potatoes, shortening, salt, and pepper; cook over medium heat until potatoes are browned, turning frequently.
Remove from heat, and transfer to a warm serving platter. Sprinkle with paprika, and serve hot.