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Pat the lamb dry and season with kosher salt and black pepper.
In a large, ceramic braising pan or heavy pan with a lid, heat 3 tablespoons extra virgin olive oil over medium-high heat until shimmering but not smoking. Add the lamb and cook for 7 to 10 minutes, tossing regularly, until browned. Transfer the lamb to a large plate for now.
In the same pan, add the onions and garlic. Season with kosher salt. Cook for 3 to 5 minutes, stirring regularly, until softened.
Return the lamb to the pan. Add the red wine, oregano, paprika, cinnamon, nutmeg and bay leaf. Cook until the wine has reduced by at least ½, then add 1 cup of water and the tomatoes. Break the tomatoes up using a wooden spoon. Bring to a boil, then reduce the heat to low. Cover and let simmer for 45 minutes to 1 hour, or until the lamb is cooked through.
Stir in the orzo and cover the pan. Let cook for another 20 minutes or until the orzo has cooked through and most of the moister has been absorbed.
Garnish with parsley and crumbled feta, if you like, before serving.