Mash the potatoes in a bowl and add grated paneer, red chilli powder, salt, and corn flour. Mix them together.
Make kofta balls from the dough. Then, take each ball and add chopped cashews and raisins.
Fry the koftas in a pan and keep aside to cool down.
In a pan, heat some oil and add bay leaf, cinnamon, cardamom, cloves and onion paste.
Saute well on a medium heat flame and add some ginger garlic paste.
Now add tomato puree to the pan along with turmeric powder, cumin powder, coriander powder, fennel powder and red chilli powder. Saute well.
Add cashew paste and a little sugar. Saute for a few minutes.
Pour water into the pan along with kasuri methi and fresh cream. Cook well until the gravy becomes thick and creamy.
Put the kofta balls in the gravy only when you are ready to serve. Otherwise, the koftas will break and fall apart.
Garnish the flavoursome Malai Kofta with fresh coriander and serve with butter naan.