Accepting an invitation for his reinstatement into the Albanian governmental forces, Moisiu returned to Albania and at the end of 1940, while serving as the commander of Tomorri battalion, he was sent to the Italian-Greek front. Spiro did not want to fight against the Greeks and along with another Albanian major, Prenk Pervizi, withdrew his men from the front lines and induced many Albanians to desert. This caused him to be deported to a military post in Laç where he was kept under strict surveillance until the Italian High Military Court condemned him to death for desertion from the front lines. The sentence was later cancelled and his only punishment was dismissal from military service. This was because the Italians feared a mutiny of the Albanian soldiers who were still under Italian command.