Mix chicken, small onion, bay leaf, peppercorns and salt in large pan. Pour in water to cover. Bring to boil. Reduce heat. Simmer, covered, for 45 minutes or til chicken is tender. Let cool; drain. Discard bay leaf, onion, peppercorns. Save the stock for another use.
Shred chicken, using 2 forks or fingers. Mix the chicken, chopped onion, Parmesan cheese and 1 cup Monterey Jack cheese in a bowl. Season with the salt
Mix the green chilies, tomatillos, cilantro, cream and egg in a blender jar or food processor bowl. Process til smooth.
Preheat oven to 350.
Warm oil in skillet. Add tortillas, using tongs. Cook til soft; drain on paper towels. Put 1/8 of the chicken mixture on each tortillas, pressing mixture to make it compact. Roll tightly and put seam side down in 7 x 12 inch baking dish. Pour chile mixture over filled tortillas. Sprinkle 1 cup cheddar cheese evenly over mixture. Bake for 20 minutes or til heated through and bubbly. Serves 8