In a large bowl, dissolve yeast in warm water. Add 2 teaspoons of sugar; let stand for 5 minutes. Add the milk, butter, salt, eggs, remaining sugar, and 2 cups flour. Beat until smooth. Stir in enough remaining flour to form a thick batter. Stir in raisins. Cover and let rise in a warm place until doubled, about 1 hour.
Stir down batter; cover and let rise again until doubled. In an electric skillet or deep-fat fryer, heat oil to 375°.
Drop batter by tablespoonfuls, a few at a time, into the hot oil. Fry until golden brown on both sides. Drain on paper towels. Roll in additional sugar while warm.