I remember my aunt being an excellent cook and Potato latkas were one of her specialities. Here is her recipe. The trick is to makes sure to properly drain the liquid from the potatoes and to fry on a high heat to ensure that the latkes sear on the outside instead of absorbing too much oil.
Makes about 24 latkas
This recipe comes from the excellent and informative book A Different LIght: the Hanukkah Book of Celebration edited by Noam Zion & Barbara Spectre which can be found at Haggadahs R Us