Start by heating up a pan, add a tablespoon of oil. To the hot oil, add the cumin seeds. Let them splutter, then add bayleaf, grated ginger, chopped garlic and green chillies. Saute well.
Once slightly cooked, add one roughly chopped onion and saute. Add little bit of salt and cook till it goes pink. Add the chopped tomatoes and cook till they are mushy & pulpy.
Turn off the flame and let the pan cool a little bit. Then add in the smooth beaten yogurt and stir well for about a minute.
Now tip in the spices- turmeric powder, coriander powder, cumin powder, red chili powder and then grate in some nutmeg. Start with the flame on low, and stir well and cook until the masala starts getting a simmer.
If the mixture seems dry ,2-3 more tbsps of yogurt can be added. Add the sugar and mix well, Cook till the gravy sweats oil
Then comes in the chopped spinach. Keep stirring and cook till the volume reduces, and the spinach is slightly wilted. After the volume is reduced, cook for another minute.
Turn off the flame, add the chopped coriander leaves and make a paste out of the cooked masalas, remember to discard the bay leaf.
Heat up a pan, add some oil, add the paste and get it to a simmer. Add more salt if required, also add the 2 tbsp cream. Mix well.
Grate about 25-30 grams of paneer straight in the pan, and chop rest, saute it a little till lightly browned. Add it to the gravy and let the gravy simmer so that the paneer soaks the flavours well. Serve Hot! Enjoy with phulkas, rotis or naan.