The episode with Neal asking James why he never told him he was his father. Neal is visibly baffled at this thought. James says he never killed a cop and is actually innocent. James also tells him that his supervising officer caught him about to take some money and didn't report him on the condition he, do some work for the Flynn family and he had no option but to agree. James was tipping them off to potential busts and taking off the Flynn family's competition. At this point Peter comes in and James is forced to admit he lied to Ellen, making her think she was speaking with Sam. ..