My kids love anything Tandoori :) Recently I preared this dish for a potluck party. It is really simple to make and definitely a crowd pleaser.
To make Tandoori Paneer Capsicum, heat about 3 tsp oil and 1/4th stick butter in a pan. Add 1 Bay leaf and 1 cinnamon stick. Then add 2 tsp maida or all purpose flour and cook for 2-3 mins. This ultimately lends thickness to the gravy. Add a little water and 2 tsp ginger/garlic paste and saute. Add 1 tsp turmeric powder and 2 tsp red chilli powder or paprika and stir.
To this add 3 chopped (strips) yellow peppers and 3 chopped (strips) red peppers, 3 chopped (strips) green peppers and 1 chopped onion (long). Alternatively you can use the ready made onion and 3 pepper mix that you can get in your local grocery store. Cover and cook till everything is soft. After this, add 2 tsp of tandoori masala,1 tsp coriander powder and 1 tsp of garam masala.
Then add Tomato puree (dip 8 medium large tomatoes in boiling water for 2-3 mins, peel off the skin and puree them in a mixer), saute this till puree blends with the peppers. Cover and cook for 7-8 mins. Add an 8oz carton of heavy whipping cream and mix together. Cook for 5 mins.
Then add 14 oz packet of Paneer (chop in cubes and saute them lightly before adding so that they hold their shape or you can get ready to use fried paneer cubes). Cook for 10 more minutes on medium low heat, taking care that the gravy does not stick to the bottom of the pan.