When Meg went after John Winchester's whereabouts and attempted to interrogate Jim, after taunting him while faking to be a repentant religious girl, Jim goes to his arsenal and chose this knife among all his other weapons, including many firearms. When he attemptted to throw it at Meg, she was able to catch the knife before it hit her. After Jim told her that he didn't know where John Winchester was, and that even if he knew he wouldn't tell her, Meg slit Jim's throat and left.
The knife is very similar to an Imperial Sportive throwing knife but with sigils and the inscription "God's Eye".
Powers and Abillities
The hunter and pastor Jim Murphy owned this special knife engraved with sigils. When he threw this knife at Meg, he missed her (and she caught it), so it is unknown what powers it had if any.