A hearing would be held next week to decide whether he should be permanently recalled to serve the full seven-year sentence.
The Department of Corrections Community Probation Services general manager Katrina Casey said the department alleged Gillies had breached his curfew conditions.
"John Gillies has a special condition which states, 'As from 18 November 2011, you are required to stay at your approved address in accordance with partial residential restrictions observing a curfew from 11pm to 6am daily unless you have the prior written permission of your Probation Officer'."
"The department alleges Mr Gillies has breached this condition."
The Parole Board said last year in its decision to release him that he had been "well-behaved" and was showing maturity.
"He turns 40 years of age next month and appears to be focused upon now trying to reintegrate into the community, and to have the support of his family."
Gillies had shown "increased insight into his problems dealing with anger and violence", and had an improved ability to deal with difficult incidents in prison, it said.
However, he remained a high-risk offender with close links to the Mongrel Mob.
The prison guard who last year said Gillies should not be released expressed fears for the public.
"Please do not release John Gillies," an email from the guard to the department, obtained by Hawke's Bay Today, said.
"You look in his eyes and he has no soul ... in short he is evil and nasty. I have known this man for 10 years. He will hurt again. I hope it's not my family and not yours but some family will suffer due to his release. Keep John in prison and away from us, I beg you. He will hurt again."
Gillies was one of four Mongrel Mob members paid $325,000 by the Crown in 2000 after claiming they were tortured and abused by guards at Hawkes Bay's Mangaroa Prison.
The taxpayer also forked out to have his "Mongrel Mob Forever" tattoo removed from his face - at a cost of $4500.
