Bring a large pan of water to the boil. Drop the spinach into the pan and blanch for 20-30 seconds. Using a slotted spoon, remove the spinach from the pan, drain and refresh in cold water.
Roughly chop the spinach, then squeeze to remove any remaining liquid – it should be as dry as possible.
In a shallow saucepan, heat the ghee, butter or oil over a medium heat. Add the chopped shallots, ginger paste and garlic, and cook for 2 minutes until they start to colour.
If frying the paneer first: in a non-stick saucepan, heat the oil over a medium-high heat. Add the paneer cubes to the pan in a single layer. Cook, turning the cubes around quickly, to seal on all sides.
Using a slotted spoon, remove the paneer cubes from the pan, then place on a plate and set aside.
Add the tomato, green chilli, turmeric, chilli powder and salt. Cook over a medium-high heat for 5-6 minutes. Add the blanched spinach and paneer cubes. Cook, stirring, for a further 3-4 minutes.
Taste to check the seasoning and adjust as necessary. Before serving, pour the cream over the top of the dish.