Heat oil in a large, heavy pot over medium-high heat. Stir in onions, green peppers, green chilies, and garlic. Cook and stir until onions are soft and translucent, about 8 minutes. Add the stew meat to the pot, cook until well browned, about 5 minutes.
Stir the chili power, cumin, basil, cayenne pepper, crushed red pepper, oregano, thyme, bay leaf, and cinnamon stick into the pot. Cook and stir until spices are aromatic, about 2 minutes.
Pour the crushed tomatoes, beef broth, and beer into the pot; stir in the tomato paste. Bring chili to a simmer and cook until beef is very tender and the liquids have thickened, about 1 hour and 15 minutes.
Mix the chili beans and chocolate into the chili. Simmer until the chocolate has melted and the chili is hot, 5 minutes. Remove cinnamon stick and bay leaf. Season to taste with salt and pepper.
