In a large heavy saucepan heat the oil over moderate heat until it is hot. Add the cuminseed, cloves and the bay leaf and cook the spices , stirring, for 5 to 10 seconds or until the cuminseed is a few shades darker and fragrant. Add the chili pepper flakes, the onion and the garlic and cook the mixture, stirring, until the onion is softened. Add the rice and cook it, stirring, for 2 minutes, or until it is coated well with the oil. Add chicken stock ( or 2 1/4 cups water for vegetarian version). Bring it to a boil, and simmer the rice, covered, for 35 to 40 minutes, or until the water is absorbed and the rice is tender.
Fluff the rice quickly with a fork. Remove the pan from the heat. Discard the bay leaf. Let rice stand, covered, for 10 minutes. Stir in the peanuts and serve.