This is the cake I remember my Mother making for our birthdays when I was a kid. It was one of my Grandmother's recipes. It is a most remarkable cake.
1 C finely chopped nuts (I like pecans)Place the nuts evenly over bottoms of two layer cake pans. Sift flour, baking powder, slat, and sugar together. Add butter, milk and vanilla. Beat 1 1/2 minutes. Add unbeaten egg whites. Beat 1 1/2 minutes. Spoon 1/4 batter into pans, using half of the batter. Sprinkle grated chocolate over batter. Spoon remaining batter into pans.
Bake @ 350'F for 35-40 minutes. Let cool 10 minutes before turning out. Cool completely and frost layers nut side up with Chocolate Inspiration Frosting.