Pound the octopus in order to tenderize it (not necessary if you use the baby ones), and cut into cubes. Saut the onions in 1/4 lb butter until golden brown; add garlic, bay leaf, oregano, fines herbes, and octopus. Saute for a few more minutes; then add tomato paste, whole tomatoes and wine. Stir well, cover and simmer over low fire for one hour, or until octopus is tender. When octopus is cooked, place 3-1/2 cups water, 1/2 cup of octopus sauce and 2 Tbsp butter in a saucepan. Bring to a boil, add rice, stir, lower heat and simmer for 20 minutes. To serve, shape the rice into individual mounds with a cup, and cover with octopus and remaining sauce. This may be prepared ahead of time and reheated in the oven before serving. It's delicious with boiled greens and white retsina.