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Spread the shredded coconut over the bottom of a large skillet. Heat the coconut on the stove over a medium setting for 3 to 4 minutes, stirring frequently. You only need to fry the coconut long enough to cook out most of the moisture. A few strands may also begin to lightly brown around the edges, but do not allow any of the coconut to turn a deep brown. Burnt coconut will ruin both the taste and texture of the filling. Spread the sugar evenly over the coconut and toss well to combine. Continue cooking the contents of the skillet for another 3 to 4 minutes.  The sugar must be permitted to melt and mix with the coconut during this step. Watch the filling mixture carefully once you add the sugar, though. If you overcook the sugar, the filling can become too hard Sprinkle the cardamom powder and ground nutmeg over the coconut. Add the cashews and tutti frutti to the pan, as well. Stir to combine and continue heating for another 2 minutes.  You may use a mix of assorted nuts and dried fruits instead of cashews if you would prefer. A mix of chopped almonds and raisins can work very well in this recipe. Tutti frutti is a chewy confection made with candied fruits. If you are unable to find it, you can use a blend of candied fruits, instead. Blends that include candied papaya are best. Cubes of barfi, another type of chewy fruity confection, can be used instead of tutti frutti, as well. Remove the skillet from the heat and set it aside. Allow the filling mixture to cool slightly. The mixture does not need to drop to room temperature, but it should be cool enough to handle with your hands. If it is too warm, it could affect the consistency of the dough prematurely once you fill the buns.
Toast the shredded coconut. Sprinkle the coconut with sugar. Add the remaining filling ingredients. Let cool.