Place 500g of washed baby potatoes in a pot of salted water. Boil until they are just fork-tender (about 10-12 minutes). Peel them while warm, then use a toothpick or fork to prick each potato 4-5 times. This ensures the gravy can penetrate deep into the center of the potato.
Heat 1.5 tablespoons of oil in a deep pan over medium-high heat. Add the pricked potatoes, a pinch of salt, and 1/4 teaspoon of turmeric. Sauté for 5-6 minutes until the potato skins turn golden-brown and slightly blistered. Remove the potatoes and set them aside.
In the same pan, add another 1.5 tablespoons of oil. Once hot, add the cumin seeds and the bay leaf. Cook for 30 seconds until the cumin seeds sizzle and release a warm, nutty aroma.
Add the ginger paste to the pan and sauté for 1 minute until fragrant. Pour in the fresh tomato puree, the remaining turmeric, Kashmiri chili powder, coriander powder, and salt. Cook on medium heat for 6-8 minutes, stirring occasionally, until the tomato mixture darkens in color and you see tiny droplets of oil separating at the edges.
Gently fold the fried baby potatoes into the cooked tomato gravy. Add 1/2 cup of warm water and stir carefully to combine. Cover the pan with a tight-fitting lid, lower the heat to its absolute lowest setting, and let it simmer ('dum') for 10 minutes. This allows the potatoes to soak up the spiced gravy like a sponge.
Remove the lid. The gravy should look rich, thick, and cling closely to the potatoes. Sprinkle the garam masala and fresh chopped cilantro over the top. Turn off the heat and let the curry rest for 2 minutes before serving.