How does he know about Cloud dropping out of SOLDIER if he never was in SOLDIER in the first place?

"Ah yes, the traitor... what was your name?"

Reference: Sector 5 Reactor conversation.

edit: kind of a new topic here...

How does Cloud know Reno (Sector 5 church)? Reno doesn't seem to know Cloud (though he seems to know Zack when he says "Hey sis, this one's a little weird" to Aeris). Actually, I guess Cloud would know of the Turks, if he worked in Shinra... so never mind. I should delete this. BA-LEETED!