Your `deluge` user has `/bin/false` for their default shell - this is what `su` is running and passing the `-c` option to (or running without any options when you simply do `su deluge`). You can use the `--shell` option to `adduser` to set a shell when creating the user. Eg:
sudo adduser --shell /bin/sh --disabled-password --system \
--home /var/lib/deluge --gecos "Deluge server" --group deluge
Or use `chsh` to change the shell for an already created user:
sudo chsh -s /bin/sh deluge
Or you could use the `--shell` (or `-s`) option with `su` to override `/etc/passwd`:
su deluge -s /bin/sh -c "flexget --test execute"
Depending on what else your are doing with the user, `/bin/bash` might be a more appropriate shell to use.