Add milk to a heavy bottom non-stick pan and bring to boil. Now add the condensed milk slow and stir well until it mixes well without burring. NOTE: Condense milk is high density so it will settle in bottom so easy to get burnt until you dissolve it completely.
While milk is cooking. In a separate pan melt the butter and roast the cashew nuts. Now add this along with the butter to the milk. Now add the crushed cardamom and Cook this for 3 to 4 minutes.
Now add the shredded paneer and mix well. Place the lid and cook for 5 minutes. NOTE: check time to time an stir not to burn.
Now add the sugar and cook for another 3 minutes covering with lid. Now remove from heat and keep it aside.
Serve this cooled or hot.
Shred the paneer in bigger hole is the shredder so you can taste it when you enjoying the payasam.