Heat oven to 450F.

Very lightly rib the steaks all over with olive oil. Season both sides with salt. Put the crushed peppercorns in a dish, and gently press the steaks into the peppercorns to coat both sides. Wrap a slice of bacon around each steak and secure ends with a toothpick. Let the steaks sit 15-20 minutes.

Heat a large iron skillet on high heat. While pan is heating, get together the remaining ingredients to have ready.

Add the tablespoon olive oil to the hot skillet to coat. Add the steaks and get a good sear on the first side (~2 minutes). Flip the steaks to the other side and put the skillet into the oven. Cook to desired doneness (my 1-1/2-in steaks were medium-rare after 4 minutes in the oven). Remove skillet from the oven and transfer the steaks to a cutting board or dish to rest 5 minutes.

While steaks are resting, make the grits. In a large saucepan, bring the water and milk to a boil. Add the cornmeal in a steady stream whisking constantly to avoid clumps. Reduce heat to medium-high and cook 1 minute to thicken, whisking constantly - be careful against splatter because it hurts. Really hurts. Remove from the heat and add the cheese, 1 t kosher salt, and cumin.

To serve, spoon some grits in the center of a dish. Place a steak over. Lay a couple jalapenos slices on top of each steak and sprinkle cilantro over top. Yield: 4 servings.