Once the oil is hot, add the Cumin.Let it splutter.Add the Green Chill & chopped onions.
Once they soften and become translucent add the quartered onions.Saute for about 30 seconds more till the quartered onions start to become translucent and chopped onions brown a bit.
Add in the Coriander Powder and saute for 10 seconds-making sure the masala doesn't burn.
Mix in the tomatoes along with their juices and the tomato puree.
Cook till the masala has thickened and tomatoes have disintegrated-takes about 10 minutes.
Add a tablespoon of water if the masala is burning or looks dry.
Add the capsicum and cook for about 30 seconds.
Next add in the paneer and mix everything together.Cook for 30 seconds more and Paneer Capsicum is ready!