I agree whole heartedly. Get your kid off of that team. There is no place in youth athletics for that kind of coaching.
At the same time I think you need to work with the other parents of kids on that team. While your only real responsibility is to your own child, this coach is clearly not good for any of the kids on the team. If enough of the parents pull their children the coach will have no team to berate. Of course starting your own team is never simple, but with enough support from these other parents you should be able to offer all the children the best (or at least better) environment in which to learn and enjoy the game of basketball.
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