1. Fry Paneer till golden brown.
2. Remove and put it aside. Fry cashews in the same oil and keep aside.
3. Deep fry onions till golden brown. Cool and grind into a paste.
4. Boil tomatoes, garlic, ginger in water, till tomatoes are soft. Cool and then make puree.
5. Soak watermelon seeds and poppy seeds for 2-3 min. Grind to paste.
6. Heat oil and fry onion paste till brown.
7. Add chilli powder and poppy seeds paste and stir.
8. Add tomato puree and cook till oil separates.
9. Add milk gradually, stirring constantly, and cook for 3-4 mins.
10. Add garam masala and salt.
11. Add enough hot water to get a thick gravy.
12. Boil and then simmer for 10-12 minutes.
13. Add paneer and kaju.
Boil once more, simmer for 5 minutes till paneer is heated.
Garnish with coriander leaves.
Serve with naan or rice.