In a pan, heat 2 tsp oil, saute onions, ginger and garlic until onions are translucent
Add tomatoes and cashews and saute until tomatoes are soft
Allow to cool completely and grind to smooth paste
Heat remaining oil in a pan, add bay leaf, cinnamon and splutter cumin seeds
Add red chilli powder and turmeric. Mix well
Add ground paste, spice powders , sugar and salt
Saute until oil starts leaving sides of the pan
Add water and bring to boil
Add peas and paneer, cook for 10 minutes
Add crushed kasuri methi and cream/curd. Mix well. Garnish with coriander leaves and serve hot with roti or naan