Rinse chicken pieces and pat dry. Set aside. Grind poppy seeds into a paste.
In a large skillet, saute onions and green chiles in oil until golden brown. Add ginger garlic paste and continue to saute. Add poppy seed paste and reserved chicken pieces, continuing to saute. Stir all together; after chicken is well mixed with the 'gravy', add the red chili powder and pour 2 cups of water over the mixture. Cover skillet and let simmer about 12 to 15 minutes, until chicken is cooked through.
After chicken is 'well-boiled' (the oil should be floating on top of the skillet liquid), add the garam masala and turmeric powder and turn off the stove. Stir all together and serve.