Read the terms of service. Says under Warez and Copyright Infringement that those'd be breaches of said terms. Then find section 6 for backups - it indicates backups are -not- provided to those who have breached said terms.
I think that explains it all, but if you choose not to look, here's the answers: no, no, and no. You will not be unsuspended, you will not be provided backups, and because you won't be unsuspended you cannot delete the folder.