Department of State and Municipal Property

The Department of State and Municipal Property of Moscow appealed to the Moscow Arbitration Court with a lawsuit against the Ministry of Property Relations of the Russian Federation on the obligation of the defendant to transfer non-residential premises located in the building located at Moscow, ul. Seleznevskaya, d. 11a, p. 2. In the statement of claim, the plaintiff indicated that the transfer of 6 disputed non-residential premises from federal property to state ownership of Moscow is provided for by order of the Government of the Russian Federation. However, the defendant did not fulfill these obligations.
By a decision of the arbitration court of the first instance, the claim was satisfied.
The defendant filed an appeal, in which he indicated that the proceedings should be terminated due to the non-jurisdiction of this dispute to the Moscow Arbitration Court. Since the dispute arose between the Russian Federation and the constituent entity of the Russian Federation, it should be referred to the competence of the Supreme Arbitration Court of the Russian Federation.
How should the issue of jurisdiction be resolved by the court of appeal? Can the proceedings be terminated due to the jurisdiction of the case?