Preheat oven to 350°F Grease two 9 inch round baking pan.
Beat sugar, butter and vanilla in large mixer bowl. Add eggs, beat for a minute. Beat in the melted chocolate. Combine flour, cinnamon, baking soda and salt, then beat into chocolate mixture alternatively with the milk. Stir in jalapenos and pour into pans.
Bake for 30-35 minutes, or until a wooden pick inserted in the middle comes out clean. Cool in pans for for 20 minutes, then invert into wire racks to cool completely.
For the frosting, beat sugar, milk, butter, cocoa, vanilla and salt in a small bowl until mixture is smooth. Frost the cake and decorate the side with almonds.