Heat 1 tablespoon of oil in a pan. Add shahi jeera and allow it to splutter.
Add black cardamom, green cardamom, cinnamon, bay leaf, red chilli, coriander seeds and fry for few seconds until you get a nice aroma. (Do not burn the spices).
Add garlic, ginger and sauté until the raw smell goes off.
Add poppy seeds, 1 chopped onion and saute until light brown in colour.
Add turmeric powder and fry for few seconds. Switch off the heat. Allow the mixture to cool down and then grind to a fine paste.
Heat 2 tablespoon of oil in a pan. Add 2 chopped onions and saute until they are translucent.
Add red chilli powder and fry for a second.
Add the ground paste and mix well.
Add 1 cup of water and required salt. Mix well, cover and cook for 3-4 minutes.
Add paneer and 1 pinch of sugar. Mix well, cook further for about 2-3 minutes and remove from the heat.
Garnish with chopped coriander leaves.
Serve hot with Chapathi/Roti/Nan/Pulao