Make a garlic-ginger paste
by combing the peeled garlic and ginger in a small food processor or blender. Blend till smooth. Add 3 tablespoons of water, blend, set aside.
Make the spice mixture
Combine the whole chiles, cumin, peppercorns, cloves, cinnamon, cardamom pods and salt in a small, clean, coffee grinder. Grind to a fine powder.
Place the spice powder in a blender or small food processor. Add 1/2 cup water and the coconut. Blend to a smooth paste.
Prepare Chicken
Heat 2 tablespoons of the oil in a wok or large, wide, non-stick pan over medium heat.
When hot add the onion and fry for 4-5 minutes until golden. Add the garlic-ginger paste. Stir then add the turmeric and salt. Stir again and add the chicken. Stir and fry for 10-15 minutes over medium heat until the chicken is lightly browned.
Add the tomatoes to the chicken, stir and cook for about 2 minutes. Add the spice paste and fry again for 3 minutes. Add 1 3/4 cups water, turn the heat down and continue to simmer gently for about 10-15 minutes or unit the sauce becomes thick and the chicken is tender.
**Note: Coconut is easy to grate with a small hand coconut grater. If you prefer you can purchase grated, frozen coconut in most Indian grocery stores OR you can use unsweetened, desiccated coconut which has been soaked in water for 1 hour, then squeezed dry.