For the sopapillas: Heat the milk and sugar in a small saucepan over low heat until the sugar melts and the milk is warm to the touch.
In the bowl of an electric mixer fitted with a dough hook, add the flour, lard, baking powder and salt. Mix for 1 minute to incorporate the lard. With the machine running on medium, drizzle the warm milk mixture into the mixing bowl. Mix until a ball of dough forms. Cover with plastic wrap and chill the dough for at least 1 hour.
When ready, heat 2 inches of vegetable oil to 385 degrees F in a Dutch oven. Line a baking sheet with paper towels.
For the topping: Mix together the sugar and cinnamon in a medium bowl; set aside.
Dust your work surface with all-purpose flour and roll the dough out to a 6-by-12-inch rectangle. It should be about 1/8 inch thick. Cut the dough into 2-inch squares and fry in batches of 6 until golden brown, about 1 1/2 minutes per side.
Using a spider, remove the hot sopapillas from the oil to the paper towel-lined baking sheet. Sprinkle the cinnamon sugar over the sopapillas and toss to coat. Transfer to a serving platter and drizzle with honey. Serve warm.