3 to 4 medium potatoes, boiled in skins and cut in chunks
4 slices bacon
1/4 cup chopped onion
1 tablespoon all-purpose flour
1 tablespoon sugar
3/4 teaspoon salt
1 teaspoon crushed celery flakes
1/4 teaspoon pepper
3/4 cup water
2 1/2 tablespoons vinegar
Add potatoes to saucepan, cover with water, add 1 tsp salt, cover with lid; cook 30 to 35 minutes or until done. Drain; set aside.
Saute bacon slowly in a frypan, then drain on paper towels. Saute onion in bacon fat until golden brown. Blend in flour, sugar, salt, celery flakes, and pepper. Cook over low heat, stirring until smooth and bubbly. Remove from heat. Stir in water and vinegar. Heat to boiling, stirring constantly. Boil for 1 minute.
Carefully stir in the potatoes and crumbled bacon bits. Remove from heat, cover and let stand until ready to serve.