In a wok, heat 1 teaspoon ghee.
Add the chopped bell peppers and onions and lightly sauté them until the veggies are tender crisp. Do not over cook them. Keep the bell peppers and onions aside.
Add 1 teaspoon ghee to the wok. Add the chopped onions, and saute until onions start to turn translucent.
Add the ginger-garlic paste and the tinned tomatoes (or use diced, fresh tomatoes). Saute for 3-4 minutes until onions are cooked, and the water from the tomatoes has evaporated.
The oil will start to separate from the onion-tomato mixture.
Add the turmeric, kasuri methi, and 1 heaped tablespoon of the kadai masala that you prepared earlier.
Add tomato paste. Mix well, saute for 2-3 minutes.
Then add the pre-sauteed veggies and the paneer to the kadai.
Add two tablespoons of Greek yogurt (or sour cream), season with salt and mix everything together.
On a high heat, toss the ingredients together until the paneer is cooked. This should take around 3-4 minutes. Use a spatula to regularly move the ingredients in the karahi, so that nothing sticks to the bottom.
Paneer kadai is now ready to be served with Naan or basmati rice.