Your DTRACE contains no trace lines, which means either :
a) It wasn't captured at the right time
b) It didn't get as far as the RetrievalTask
Given that the top of the trace says that nothing is being traced then can you confirm that you did correctly do :
DTRACE
set retrievaltask v
log c:\dtrace.txt
Then reproduce the problem
Then back in the DTRACE window, type "log", then "exit" to come out of DTRACE
This is what it should look like :
Id Name Detail Include Events
74 - RetrievalTask Verbose Yes
Please can you repeat the process, and in addition do a "set w3wp v", and "set agenticlientbroker v" in your DTRACE window before you start logging to a file. Lastly check the IIS log on the EV server, it should contain 2 entries for clientaction.asp for the time that you try to restore an item. The first will be a 401 meaning you need to authenticate, that'll happen automagically in the background, and the second entry immediately after the 401 should then be a 200 for the same request.
Your client log looks good. It shows the items being marked, and the request going off to the EV server :
16/11/2010 07:44:10.586[11596]: Sending HTTP request: http://ARLEVCLS.india.eclerx.com/EnterpriseVault/clientaction.asp?act=4&fdrenc=*v9JAG4AYgBvAHgA&dn=/o%3dINDIAECLERX/ou%3dFirst%20Administrative%20Group/cn%3dRecipients/cn%3dSuraj.Karande&svr=ARLEXCHCLS1&sid=1F89092F6EA6DA24C8B6F90D508CFA01B1d10000ARLEVCLS&tsp=2010-11-16T07:44:10&pdl=AAAAAAAADCNMOAEKIMKJPPEPJCLOMPMJLKLJBKPHABAAFHLDCFHIGELDCFEKKMGKJFHLGNGCLBKMAAAABLFGFOKEAAAA