First prepare the red chilli paste – warm ¾ cup water and put whole red chillies in it. Let it be in it for around 7-8 min. Now in a blender, add garlic and the red chillies along with the water and make a fine paste. Heat a pan, add oil and saute this paste on medium heat stirring continuously until oil leaves from the sides. Set it aside.
Heat ghee in a heavy bottomed pot, add whole garam masala along with cumin seeds and let it crackle for a minute.
Add the sliced onions along with the finely chopped ginger and stir until the onions are golden brown.
Now add lamb/mutton pieces, along with some salt and cook it for around 10 minutes on medium heat.
Lower the heat and add beaten yogurt and mix in thoroughly. Keep stirring for around 4-5 minutes.
Now add the red chilli paste, red chilli powder and mix well. Keep mixing this for around 10 minutes more.
Now add water (just enough for the lamb/mutton to be cooked), bring it to a boil and then simmer, cover with a lid and cook on low heat until the lamb/mutton is tender. Adjust the seasoning and serve hot with rice or any other Indian flatbread.