They do not seem to work! Although, as far as I could tell from the starting area, Detect Evil functioned well, the Deity Configuration device informed me it was invalid and Lay on Hands did not work.
From previous experience, they do not work because Corellon's chosen alignment is not Lawful Good. You most likely need a DM's assistance for this one.
Corellon and Sune are the only non Lawful Good, Neutral Good or Lawful Neutral deities to allow paladins, as far as I know, and they're on the list.
Has anyone tried out a paladin of Sune recently?
The work, but not if you enter the deity as "Corellon Larethain" iirc.
As far as I know you need to set it as just 'Corellon'
Sune works fine last i checked.
If this doesn't work it is a bug, that can be fixed short-term for your character by any DM IG.