How does Neo know this?

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RWBY (pronounced "Ruby") is an American anime-styled animated web series and media franchise created by Monty Oum for Rooster Teeth. It is set in the fictional world of Remnant, where young people train to become warriors (called "Huntsmen" and "Huntresses") to protect their world from monsters called Grimm. The name RWBY is derived from the four main characters' forenames: Ruby, Weiss, Blake and Yang, as well as their associated theme colors; Red, White, Black and Yellow, and their combined team name: Team RWBY.

"Tea Amidst Terrible Trouble" -After Ruby chases Little away in fear of their safety, she discovers a mansion created by Neo's Semblance and is greeted by an illusion of Roman Torchwick, who reveals Neo blames her for his death. Neo then appears with clones of Ruby's deceased friends and enemies, who try breaking her into drinking a Tree-leaf tea that will ascend her. The Curious Cat saves Ruby only to reveal their true goal of possessing her body to escape the Ever After in search of it's creators, but is stopped by Little - who is in turn crushed by Neo; finally breaking, Ruby drinks the tea and is taken by the Tree just as her friends arrive. However, feeling she has nothing to live for after getting her revenge, Neo becomes catatonic and the Cat possesses her instead.

Neopolitan, born Trivia Vanille and now better known as Neo, is a major antagonist in RWBY. She was the partner of Roman Torchwick, with the two sharing a close possible romantic bond. Her weapon of choice is called Hush, a parasol with a concealed blade. She first appeared in "Painting the Town...". After the Fall of Beacon, she hunts down Cinder Fall in revenge for Roman's death, but subsequently joins forces with her, shifting her target to Ruby Rose.
In "The Final Word", she was betrayed by Cinder in the Central Location and knocked into the void, finding herself in the Ever After. She is the main antagonist of Volume 9.
Neo is also featured as one of the main characters in the novel, RWBY: Roman Holiday.