Prepare the vegetables: Rinse the tomatoes, garlic cloves, and onion. Chop the tomatoes, mince the garlic cloves, and cube the onion.
Sauté the onion and garlic: Preheat a pot on medium-high heat, drizzle the olive oil, and add the garlic, onion, and dried red chili. Sauté the ingredients for three minutes or until browned. Add the tomato and cook for two more minutes. Add more cooking oil if necessary.
Blend and cook the spinach (Palak): Add the spinach in the processor, or blender, or mixer and spin to make the spinach more smooth and refined. Thereafter, add the spinach in the pot, as well as the butter. Stir to mix and cook the spinach for fifteen minutes on medium-high heat.
Roast the cottage cheese (Paneer): While the spinach base is getting cooked, lightly roast the cheese on a preheated pan. The temperature of the pan will be high. Drizzle the olive oil and add the paneer. Cook all the sides for thirty seconds or until brown.
Mix palak and paneer together: When the cheese is done roasting, add them in the pot and stir gently to coat the cheese with the spinach base. Serve with your favorite side-dish.