Board Thread:General Discussion/@comment-3038174-20130306153125/@comment-65.94.215.99-20130513223220

Yes, Neal knows the truth. His father told him that Milah was killed by a pirate, but in the season 2 finale, Hook revealed to Bae/Neal that his mother's heart was ripped out of her body and crushed by his own father, Rumplestiltskin.