There is way too much liquid in the chutney, making it hard to achieve a smooth consistency. The lime juice is itself sufficient to provide the liquid needed for a blender - if its not enough, just add a tablespoon of water, definitely not 1/4 cup. After draining excess liquid, I still needed to bind the chutney together - I used a bit of honey and a bit of yogurt.
This recipe is a waste of good ingredients. The chicken is bland despite an overnight marinade time and the deep cuts into the meat. Save your chutney for a dipping sauce with samosas or other Indian treats and make tandoori chicken instead.