If you want your DLL code to initialize buffer to pass data back to LabVIEW, then you have to use LabVIEW's memory manager functions e.g. DSSetHandleSize etc..
Here is your starting point http://digital.ni.com/public.nsf/websearch/a6705fec7ea42300862567b70054206e?OpenDocument
Hi Kamal, An easy way could be to use, e.g., the "Initialize Array.vi" from the Array palette or any other LabView code to generate an array of the desired type, dimension and size. Then configure the Call Library Node to pass a pointer to the array to your external code.