Having spent time pre-season training with the Daggers last summer, the 29-year-old joined the Imps and has played a part in their battle for Blue Square Bet Premier survival this term.
The Daggers have now moved to bring him to Victoria Road on a deal until the end of the season.
Interim manager Wayne Burnett told the club's official website: "Peter is a very experienced player who can play in a number of positions. He is a very hard-working and determined player and will provide us with cover during the remaining games of the season."
He follows the arrival of former Charlton defender Jonathan Fortune, a free agent, on a short-term deal until the end of the season and goalkeeper Jonathan Miles on loan from Tottenham.