Heat the coconut oil in a pan over medium heat.
Add mustard seeds and let them splutter.
Add chana dal, urad dal, and cashews. Roast until golden brown.
Add peanuts, curry leaves, asafoetida, and green chillies. Sauté for a minute.
Add grated coconut, salt, and sugar. Sauté for 30 seconds.
Add cooked rice and mix thoroughly until well combined.
Lower the flame and add 2 crushed appalams. Mix gently and turn off the heat.
Crush the remaining appalam and sprinkle on top just before serving for added crunch.