Heat ghee in a heavy-bottomed wide pan. Add bay leaves, cumin seeds, and mustard seeds.
As the cumin seeds start to crackle, add chopped onions. Cook the onions for 1-2 minutes, stirring occasionally.
Add the ginger-garlic paste to the onions and mix until combined.
Sauté for 2-3 minutes or until the onions are translucent.
Add green chilies, chopped tomatoes, and tomato puree to the onions and mix until well blended.
Cook this mixture over medium-low heat until the oil separates.
Stir in Kashmiri red chili powder, coriander powder, and salt. Mix until combined.
Add yogurt and mix again.
Finally, add the karaikudi spice blend to this simmering masala.
Mix it well.
Add water and fennel seeds.
Cover the pan with a lid and allow the curry to simmer for 3-4 minutes.
After 4 minutes, uncover the pan, and add curry leaves. Mix it with the simmering curry.
Time to add paneer triangles. Gently mix paneer into the curry.
Cover the pan and take it off the flame. Allow the paneer to soak in all the karaikudi flavors.
Uncover the pan, garnish with chopped cilantro leaves and serve hot.
This heavenly preparation of Paneer in the rich Karaikudi masala is best devoured with naan, roti, or rice.