In a large saucepan or Dutch oven, brown stew meat (work in batches if needed); drain. Meanwhile dissolve bouillon cubes in water; add to beef. Add onion, pepper, and bay leaf. Cover and simmer 1 hour 15 minutes or until meat is tender.
Add potatoes, cabbage, and carrots. Cover and simmer 45 minutes to 1 hour, or until vegetables are tender. Stir in tomato sauce and salt. Simmer, uncovered, 15 to 20 minutes more. Remove bay leaf before serving.