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1. Preheat oven to 325 degrees F. In a heavy small saucepan heat half-and-half and stick cinnamon over medium heat just until bubbly. Remove from heat; remove cinnamon stick. Add chocolate to cream. Let stand for 5 minutes; whisk until smooth. Set aside.
2. Meanwhile, in a medium bowl combine egg yolks, the 1/3 cup sugar, the vanilla, chile pepper, and salt. Whisk until combined. Slowly whisk chocolate mixture into egg mixture.
3. Place six ungreased 5- to 6-ounce casseroles, souffle dishes, or custard cups in a 13x9x2-inch baking dish or pan. Divide custard mixture evenly among the casseroles. Place baking dish on oven rack. Pour enough boiling water into baking dish to reach halfway up sides of casseroles.
4. Bake for 35 to 40 minutes or until a knife inserted near the centers comes out clean. Carefully remove casseroles from water; cool on a wire rack. Cover and chill for 1 to 24 hours.
5. Before serving, let custards stand at room temperature for 20 minutes.
6. In a small bowl combine the 2 tablespoons sugar and the ground cinnamon. Sprinkle evenly over custards. Place custards on a baking sheet. Caramelize sugar on tops with a culinary torch or broil* 4 to 5 inches from heat for 1 to 2 minutes or until sugar is melted and lightly browned. Serve immediately.