Take tomatoes, Cashew nuts, Ginger, and Green chilies in a blender and puree them to form a fine paste. No need to add water as the water in the tomatoes is sufficient to grind it. Chop the tomatoes into medium pieces, so that the blender can grind easily.
For the Kolhapuri masala. Dry roast the ingredients under the Kolhapuri masala table. First roast the spices for a min in medium flame
Next add in the coconut and roast until it turns slightly golden and aromatic. Let cool it down and then take it in a blender and grind to form a fine paste. You can add little water if required for grinding. Set it aside
Now take a pan add in oil and wait till it becomes hot. Once it’s hot add in the Fennel seeds and Bay leaves. Let them splutter.
Next add the ground tomato puree, Cook in a medium flame until the raw smell leaves.
Then add turmeric powder and Garam masala powder, Chilli powder, Salt.
Combine everything and cook until the oil separates. Add little water if needed.
Now add in the ground Kohlapuri masala and Water. Let it cook for some time on a medium flame for 2 mins.
Now add in the Cubed Paneer pieces and then simmer for 3 mins,
Add in the sugar and adjust the spices if needed.
Finally add in finely chopped coriander leaves and switch off the flame.
Notes
I used my homemade Paneer for preparing this Recipe.