vBulletin gets its time from the server. Please note that just because a server is physically located somewhere does not mean it is set to use that time zone. You need to find the time zone of that server.
Next you need to set the timezone in the Admin CP -> vBulletin Options -> Date and Time Options to whatever you want the default to be, and the DST settings should match whatever settings are on the server.
The setting in the Admin CP is the default vB time for guests to view the board. Then each user needs to set their local timezones/DST in the User CP. If you do this correctly and the server time is correct, then the correct times will show.
This also assumes that you have not modified the footer template to affect the DST detection code in it.
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