For the Churros:
1. In a small saucepan over medium heat, combine water, 2 tablespoons sugar, salt and butter. Bring to a boil and reduce the heat to low. Stir in flour until mixture forms a ball, about 1 minute. Allow to cool slightly.
2. Add eggs, 1 at a time, beating until incorporated after each addition; spoon mixture into a pastry bag fitted with a large open-star tip.
3. Heat oil for frying in a Dutch-oven or deep skillet to 356F (180C). Pipe strips of dough into hot oil using a pastry bag. Fry until golden; drain on paper towels.
4. Combine 1/4 cup sugar and 1 tsp cinnamon. Roll the churros in the mixture.
5. Chocolate sauce: heat heavy cream. Pour the cream over the chocolate. Let sit 1 minute. Stir well until smooth.
6. Serve immediately.