As far as I know junction boxes are ok for closets. Your local jurisdiction may have other ideas. Please consider consulting them.
Today's circuit panels are full of (expensive) AFCI breakers that will be damaged by flooding and running many wires can get expensive with current copper prices. Could you instead run a heavier gauge wire to a subpanel located above the water line and nearer to the loads, and branch out from there?
Also using junctions to "split" a circuit to go two directions should be used sparingly. Most electricians will expect wiring to "daisy chain" from point to point, junctions can make fault tracing much more difficult. Some jurisdictions require that the wire be unbroken from the panel to the first load.
There is no problem with installing junction boxes above a suspended ceiling, as long as the box is less than 100 in.³ and securely fastened. National Electrical Code has this to say...
National Electrical Code 2014
Chapter 3 Wiring Methods and Materials
Article 314 Outlet, Device, Pull, and Junction Boxes; Conduit Bodies; Fittings; and Handhole Enclosures
II. Installation
314.23 Supports. Enclosures within the scope of this article shall be supported in accordance with one or more of the provisions in 314.23(A) through (H).
(D) Suspended Ceilings. An enclosure mounted to structural or supporting elements of a suspended ceiling shall be not more than 1650 cm3 (100 in.3) in size and shall be securely fastened in place in accordance with either (D)(1) or (D)(2).
(1) Framing Members. An enclosure shall be fastened to the framing members by mechanical means such as bolts, screws, or rivets, or by the use of clips or other securing means identified for use with the type of ceiling framing member(s) and enclosure(s) employed. The framing members shall be adequately supported and securely fastened to each other and to the building structure.
(2) Support Wires. The installation shall comply with the provisions of 300.11(A). The enclosure shall be secured, using methods identified for the purpose, to ceiling support wire(s), including any additional support wire(s) installed for that purpose. Support wire(s) used for enclosure support shall be fastened at each end so as to be taut within the ceiling cavity.
Code Violations
In the first image, the wires being spliced together like that violates NEC 300.15.
300.15 Boxes, Conduit Bodies, or Fittings Where Required. ... Where the wiring method is conduit, tubing, Type AC cable, Type MC cable, Type MI cable, nonmetallic-sheathed cable, or other cables, a box or conduit body shall be installed at each conductor splice point, outlet point, switch point, junction point, termination point, or pull point...
I've also noted some violations in the second image.
Click for larger view
Best Answer
If these are just junction boxes you don't need a ground rod. Why do you think you need a rod? If a transformer vault or the base of a power pedestal that would be a different answer. Grounding electrodes are covered starting in 250.50.