Heat the oven to 325°F.
Put the flour into a shallow dish (I use a pie plate) and mix in the salt and pepper. Pat the veal dry with a paper towel and dredge in the flour mixture, shaking off the excess.
On medium-high heat, heat a Dutch oven(large enough to hold all the shanks), melt 2 Tablespoons of the butter and 1 Tablespoon olive oil. Add 4 of the shanks and brown both sides, turning only once. This should take about 10 to 15 minutes total. (Timing will depend on the type of pot and your stove, see note.)
Transfer to a dish that will catch any released juices. Wipe out the pot with paper towels and add the remaining butter and olive oil. Melt over medium-high heat and brown the remaining meat, as in Step 3. Remove veal to the dish with the other 4 shanks.
Add the wine to the pot, bring mixture to a boil and let it reduce to about ⅓ cup, scraping up the bits and pieces from the pan as it boils. This should take about 8 - 10 minutes. (Again, depending on your pot.)
While the mixture is reducing tie the bay leaf, parsley, and thyme in some cheesecloth and set aside.
Once the wine is reduced add the onion, garlic, carrots and celery and cook until the onion is translucent.
Stir in the tomatoes and the nutmeg. (I know, nutmeg sounds strange, but it adds lovely hint of flavor.)
Put the browned shanks back into the pot along with any accumulated juices, nestling the veal down into the vegetables, then nestle the herb bundle in. Add enough broth to reach about ¾ of the way up the shanks.
Cover and place in the oven, until the meat begins to come away from the bone, 1½ to 2½ hours. If you don't have a Dutch oven that is oven safe, you can also braise this on low heat on your stove. Again, the timing depends on the pot you are using.
Add broth occasionally, if needed.
Serve over polenta, egg noodles, or mashed potatoes. Sprinkle with gremolata.