In a large skillet, cook the beef, onion and salt over medium heat until meat is no longer pink. Add garlic; cook 1 minute longer. Drain. Stir in cheddar cheese; set aside.
Meanwhile, in a large saucepan, cook and stir the soup, processed cheese and milk over medium heat until cheese is melted. Stir in chilies and pimientos.
In a large skillet, fry tortillas, one at a time, in oil for 5 seconds on each side or until golden brown. Drain on paper towels.
Place a scant ¼ cup of reserved meat mixture down the center of each tortilla. Roll up and place seam side down in greased 13-by-9-inch baking dish. Pour cheese sauce over the top.
Cover and bake at 350 degrees for 25–30 minutes or until heated through.